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Business, 27.09.2019 02:10 ladeshak5981

Bauer company’s preferred stock is currently selling at $80 per share and pays an annual dividend of $8 per share. the company will incur 5% flotation cost if they issue new preferred stock. what is bauer’s cost of preferred stock (with adjustment of flotation costs). (a) 11.05%(b) 10.23%(c) 10.53%(d) 11.81%(e) 10.74%

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