Solution-What is the after-tax cost of preferred stock

What is the after-tax cost of preferred stock

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Reference no: EM13509308

A firm's preferred stock pays an annual dividend of $2, and the stock sells for $65. Flotation costs for new issuances of preferred stock are 5% of the stock value. What is the after-tax cost of preferred stock if the firm's tax rate is 30%?

Reference no: EM13509308

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What is the after-tax cost of preferred stock : A firm's preferred stock pays an annual dividend of $2, and the stock sells for $65. Flotation costs for new issuances of preferred stock are 5% of the stock value. What is the after-tax cost of preferred stock if the firm's tax rate is 30%?

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What is the after-tax cost of preferred stock

Reference no: EM13509308

Reference no: EM13509308

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