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Author Question: Teri's Tires has 7 percent preferred stock outstanding that sells for $68 a share. The preferred ... (Read 220 times)

burton19126

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Question 1

Preferred stock constitutes what percentage of the average firm's capital structure?
◦ 50%
◦ 25%
◦ 5%
◦ 10%
◦ 75%

Question 2

Teri's Tires has 7 percent preferred stock outstanding that sells for $68 a share. The preferred stock has a $100 par value. What is Teri's cost of preferred stock?
◦ 9.52 percent
◦ 9.71 percent
◦ 10.29 percent
◦ 10.78 percent
◦ 11.76 percent


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Marked as best answer by burton19126 on Apr 25, 2021

cuttiesgirl16

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