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Cully Company needs to raise $ 2 3 million to start a new project and will raise the money by selling new bonds. The company

Cully Company needs to raise $23 million to start a new project and will raise the money by selling new bonds. The company will generate no internal equity for the foreseeable future. The company has a target capital structure of 65 percent common stock, 9 percent preferred stock. and 26 percent debt. Flotation costs for issuing new common stock are 13 percent, for new preferred stock. 6 percent, and for new debt, 3 percent. What is the true initial cost figure Southern should use when evaluating its project?
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$21,313,333
$25,247,00
$26,510,030
$24,470796
$25,490,413
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