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the company has current financial data as follows: 1. Long-term debt $ 120,000 (interest at 10% / year) 2. Preferred stock = 3000 shares, dividend
the company has current financial data as follows:
1. Long-term debt $ 120,000 (interest at 10% / year)
2. Preferred stock = 3000 shares, dividend $ 5 / share
3. Common stock = 8000 shares
Income before interest and taxes that the company has accrued $ 70000, 50% tax.
Based on the data above, how much income for the common shareholders of company for each share?
For example, the next company needs 10 million in funds. With a mix of 50% return and 50% common stock at a price of 1000
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