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Buggy Whip Manufacturing Company is issuing preferred stock yielding 16%. Selton Corporation is considering buying the stock Assume that Bugay's tax rate is 0% due

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Buggy Whip Manufacturing Company is issuing preferred stock yielding 16%. Selton Corporation is considering buying the stock Assume that Bugay's tax rate is 0% due to continuing heavy tax losses, and Selten's tax rate is 30% What is the after-tax preferred yield for Selten? Assume the tax rate on dividends is 15%. (Round your answer to 2 decimal places.) Multiple Choice 13.78 1738 UH 15.28 hthaarate - . 0 16.43 3

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