A firm is planning to issue preferred stock the stock sells, Financial Management

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A firm is planning to issue preferred stock the stock sells

A firm is planning to issue preferred stock. The stock sells for $115; however, if new stock is issued, the company would receive only $98.00. The par value of the stock is 100, and the dividend is 14 percent. What is the cost of capital for the stock to this firm?

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Financial Management: A firm is planning to issue preferred stock the stock sells

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