Cost of preferred stockDetermine the cost for the following preferred stock.(Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.)

Par value	Sale price	Flotation cost	Annual dividend
$120.00120.00	$124.80124.80	$8.408.40	99%

The cost of preferred stock is

nothing%.

(Round to two decimal places.)