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RetRyder Hand Trucks has a preferred share issue outstanding that pays an annual dividend of $1.45 per year. The current cost of preferred equity for
RetRyder Hand Trucks has a preferred share issue outstanding that pays an annual dividend of $1.45 per year. The current cost of preferred equity for RetRyder is 8 percent. If RetRyder issues additional preferred shares that pay exactly the same dividend and the investment banker retains 6 percent of the sale price proceeds, what is the cost of new preferred shares for RetRyder?
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