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What is the form cost of preferred stock financing

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Question - Nature Food Inc. needs to estimate the cost of financing on preferred stock. The firm has preferred stock outstanding that pays a constant dividend of $3.39 per year. That preferred stock is currently selling for $58.44. However, the underwriter would charge flotation costs of $4.15 per share. What is the form's cost of preferred stock financing?

Reference no: EM132765350

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