Cost of preferred stock with flotation costs burnwood tech


Cost of Preferred Stock with Flotation Costs Burnwood Tech plans to issue some $60 par preferred stock with a 8% dividend. A similar stock is selling on the market for $70. Burnwood must pay flotation costs of 5% of the issue price. What is the cost of the preferred stock? Round your answer to two decimal places.

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Financial Management: Cost of preferred stock with flotation costs burnwood tech
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