Question
The company has just issued preferred stock. The stock has 8 percent annual dividend and a 400 par value and was sold at 350 per
The company has just issued preferred stock. The stock has 8 percent annual dividend and a 400 par value and was sold at 350 per share. In addition, floatation cost of 25 per share must be paid. Calculate the Cost of Preferred Stock. Round off to two decimal places between computations. Round off the final answer to two decimal places.
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Managerial Accounting
Authors: Ray H. Garrison, Eric W. Noreen, G. Richard Chesley, Ray Carroll
6th Canadian Edition
0070915164, 9780070915169
