Travis industries plans to issue perpetual preferred stock


Travis Industries plans to issue perpetual preferred stock with an $11.00 dividend. The stock is currently selling for $99.50, but flotation costs will be 6% of the market price, so the net price will be $93.53 per share. What is the cost of the preferred stock, including flotation? Round your answer to two decimal places.

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Financial Management: Travis industries plans to issue perpetual preferred stock
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