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The 8 percent preferred stock of Margarits Beverages is selling for $58 a share. What is the firms cost of preferred stock? Please show work:

The 8 percent preferred stock of Margarits Beverages is selling for $58 a share. What is the firms cost of preferred stock? Please show work:

a. 4.64%

b. 7.25%

c. 9.19%

d. 11.08%

e. 13.79%

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