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Cost of capital.

Company issued $100 par value preferred stock 12 years ago. The stock provided a 9% yield at the time of the issue. The preffered stock is now selling for $72. What is the current yield or cost of preffered stock? (disregard flotation costs)

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At the time of issue the yield was 9%. The par value is $100. The ...

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The solution explains how to calculate the cost of a preferred stock