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ensen's Travel Agency has a 7 percent preferred stock outstanding that is currently selling for $48 a share . The preferred stock has a $100

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ensen's Travel Agency has a 7 percent preferred stock outstanding that is currently selling for $48 a share . The preferred stock has a $100 par value . The market rate of return is 10 percent and the firm's tax rate is 34 percent What is the Jensen's cost of preferred stock ? A . 14 .58 percent B . 8 75 percent

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