Firm X has a tax rate of 30%. The price of its new preferred stock is $63 and its flotation cost is $3.15. The cost of new preferred stock is 12%. What is the firm’s dividend? Question 9 options:
A) $7.18
B) $5.03
C) $7.56
D) none of the above.
Firm X has a tax rate of 30%. The price of its new preferred stock is $63 and its flotation cost is $3.15. The cost of new preferred stock is 12%. What is the firm’s dividend? Question 9 options:
A) $7.18
B) $5.03
C) $7.56
D) none of the above.