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Question 16 2 pts Why is the cost of retained earnings cheaper than the cost of issuing new common stock? (select all that apply) When

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Question 16 2 pts Why is the cost of retained earnings cheaper than the cost of issuing new common stock? (select all that apply) When a company issues new common stock they also have to pay flotation costs to the underwriter. Investors could buy other securities, earn dividends. Issuing new common stock may send a negative signal to the capital markets, which may depress the stock price

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