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Nature Food Inc. needs to estimate the cost of financing on preferred stock. The firm has preferred stock outstanding that pays a constant dividend of

Nature Food Inc. needs to estimate the cost of financing on preferred stock. The firm has preferred stock outstanding that pays a constant dividend of $4.93 per year. That preferred stock is currently selling for $85.99. However, the underwriter would charge flotation costs of $4.76 per share. What is the forms cost of preferred stock financing? Round the answers to two decimal places in percentage form

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