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The Weir Company has preferred stock that pays a $18 annual dividend, with no expected growth. If the stock sells for $130 per share, further
The Weir Company has preferred stock that pays a $18 annual dividend, with no expected growth. If the stock sells for $130 per share, further issues of such preferred shares with a flotation cost of five percent would result in the following component cost of capital for the preferred shares in a WACC calculation:
13.73% | ||
14.04% | ||
14.32% | ||
14.57% | ||
13.40% |
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