News2 mins ago
corporation finance
0 Answers
Seven Eleven Stores is planning an expansion project that it desires to finance with newly issued preferred stock. The firm has an outstanding issue of preferred stock that pays a dividend of $4.25 per share, which is trading for $65 a share. The investment bankers have advised Seven Eleven that flatation costs will be 8% per share. What will be the cost of the newly issued preferred shares?
a. 6.5%
b. 7.1%
c. 8.3%
d. 9.7%
a. 6.5%
b. 7.1%
c. 8.3%
d. 9.7%
Answers
Best Answer
Nobody has yet answered this question. Once some answers have been given, florice will be able to select one answer as the best. Once a best answer has been selected, it will be shown here.
For more on marking an answer as the "Best Answer", please visit our FAQ.There are no answers available for this question.
