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Suppose Best Buy Inc. is about to sell 500,000 preferred stocks at the price of $35 per share which pays $2 annual dividend. If the

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Suppose Best Buy Inc. is about to sell 500,000 preferred stocks at the price of $35 per share which pays $2 annual dividend. If the flotation cost is 5% of the stock price then, what is the cost of capital for the preferred stock? (State your answer in percentage with two decimal point)

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