Example #3 NSU U nlimited, Ine. can sell bonds with a par value of $1.000 and a coupon n id semi-annually simmilar bonds is $975. NSU Unlimited anticipates flotation costs of Sz0 Pr NSU Unlimited 5% annual dividend. The stock is currently selling for a price Unlimited anticipates flotation costs of S3 per share . The rate of 8% per year, nds will have a maturity of 5 years. The current market price o , Inc. can sell preferred stock with the following characteristics: $100 par va of $87.50 per share. NSU NSU Unlimited, Inc. can sell common stock at a price is $150 per share. The stock last paid a end of Do $2.50 per share. The dividend is expected to grow at an annual semi-annual divid rat e of 8% for the flotation costs of 10%. u forceable future (G.e. for a really long time). NSU Unlimited anticipates The company's tax rate is 40%. 2016 Balance Sheet (thousands of dollars) accounts payable notes payable accruals 325 300 110 102 400 438 940 2391 550 1841 2781 cash accounts receivable inventory current liabilities 735 526 125 128 584 683 current assets gross fixed assets accum. depreciation long-term debt (bonds) preferred stock common stock net fixed assets total assets paid-in capital retained earnings 1395 total common equity total liabilities and equity 2781