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The 6 percent preferred stock of Mercer Livestock is selling for $62 a share. What is the firm's cost of preferred stock if the tax

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The 6 percent preferred stock of Mercer Livestock is selling for $62 a share. What is the firm's cost of preferred stock if the tax rate is 34 percent and the par value per share is $100? a. 5.88 percent b. 6.39 percent c. 7.04 percent d. 8.27 percent e. 9.68 percent

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