Composite required return for the firm stakeholders

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Reference no: EM132047217

1. A Firm has an issue of preferred stock that pays a $5.00 stated dividend. The current share price is $120 per share. What is the firm’s cost of preferred stock?

2. A firm’s the weighted average cost of capital(WACC) represents a composite required return for the firm’s stakeholders

A. True

B. False

Reference no: EM132047217

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