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Anthony's Antiques, Inc. has preferred stock outstanding which pays a dividend of $4 per share a year. The current price is $32 per share. What

Anthony's Antiques, Inc. has preferred stock outstanding which pays a dividend of $4 per share a year. The current price is $32 per share. What is its cost of preferred stock? What if the floatation cost is $1 a share? (Answer: 12.5%, 12.9%))

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