Solution-Determining the cost of preferred stock-including

Determining the cost of preferred stock-including flotation

Reference no: EM132501176

Travis Industries plans to issue perpetual preferred stock with an $11.00 dividend. The stock is currently selling for $94.00, but flotation costs will be 6% of the market price, so the net price will be $88.36 per share. What is the cost of the preferred stock, including flotation? Round your answer to two decimal places.

Reference no: EM132501176

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Determining the cost of preferred stock-including flotation

Reference no: EM132501176

Reference no: EM132501176

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