Sixth Fourth Bank has an issue of preferred stock with a $5.60 stated dividend that just sold for $98 per share. What is the bank's cost of preferred stock?

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
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Sixth Fourth Bank has an issue of
preferred stock with a $5.60 stated
dividend that just sold for $98 per
share. What is the bank's cost of
preferred stock?
Transcribed Image Text:Sixth Fourth Bank has an issue of preferred stock with a $5.60 stated dividend that just sold for $98 per share. What is the bank's cost of preferred stock?
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