Nominal cost of preferred equity adjusted for flotation cost

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Reference no: EM131317048

An issue of preferred stock pays a $1.42 dividend each quarter, and is currently trading at $94 per share. Flotation costs are estimated to be $0.86 per share. The nominal cost of preferred equity (Rp) adjusted for flotation costs, is %. Do not round intermediate work, but round your 'final' answer to 2 decimal places (example: if your answer is 12.34567%, you should enter 12.35).

Reference no: EM131317048

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Nominal cost of preferred equity adjusted for flotation cost : An issue of preferred stock pays a $1.42 dividend each quarter, and is currently trading at $94 per share. Flotation costs are estimated to be $0.86 per share. The nominal cost of preferred equity (Rp) adjusted for flotation costs, is %.

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