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Your employer pays a $2.00 dividend on its preferred shares. If the price of its preferred shares are $37 and floatation costs would be 1%

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Your employer pays a $2.00 dividend on its preferred shares. If the price of its preferred shares are $37 and floatation costs would be 1% per share, what is the required rate of return on the firm's preferred shares? a. 3.00% b.5.46% C. 4,08% d. 6.00%

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