Kyle is raising funds for his company by selling preferred, Finance Basics

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Kyle is raising funds for his company by selling preferred

Question: Cost of preferred stock.

Kyle is raising funds for his company by selling preferred stock. The preferred stock has a par value of $85 and a dividend rate of 7.4%.

The stock is selling for $72.02 in the market. What is the cost of preferred stock for Kyle?

What is the cost of preferred stock for Kyle?

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Finance Basics: Kyle is raising funds for his company by selling preferred

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Finance Basics: Kyle is raising funds for his company by selling preferred

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