Question
Firm X has a tax rate of 25%. The price of its new preferred stock is $65 and its flotation cost is $2.00. The cost
Firm X has a tax rate of 25%. The price of its new preferred stock is $65 and its flotation cost is $2.00. The cost of new preferred stock is 12%. What is the firm's dividend? (Round your answer to 2 decimal places.)
OPTIONS BELOW:
Multiple Choice
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$9.71
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$6.21
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$7.56
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$9.01
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Fundamentals of Multinational Finance
Authors: Michael H. Moffett, Arthur I. Stonehill, David K. Eiteman
5th edition
205989756, 978-0205989751
