A company’s perpetual preferred stock currently sells for $9…

A company’s perpetual preferred stock currently sells for $92.50 per share, and it pays an $8.00 annual dividend. If the company were to sell a new preferred issue, it would incur a flotation cost of 5.00% of the issue price. What is the firm’s cost of preferred stock? exam spreadsheet for final exam.xlsx

The pharmaceutical industry encouraged doctors to prescribe…

The pharmaceutical industry encouraged doctors to prescribe opioids by: A) Providing in-depth education about their benefits and drawbacks B) Paying physicians kickbacks when they prescribed opioids C) Denying that opioids were addictive D) A & D E) B & C

To help them estimate the company’s cost of capital, Smithco…

To help them estimate the company’s cost of capital, Smithco has hired you as a consultant. You have been provided with the following data: D1 = $1.45; P0 = $22.50; and gL = 6.50% (constant). Based on the dividend growth approach, what is the cost of common from reinvested earnings? exam spreadsheet for final exam.xlsx

The regression equation below is predicting a person’s hourl…

The regression equation below is predicting a person’s hourly earnings (wage) using years of education (educ), years of experience (exper), and two dummy variables. The dummy variable married equals 1 if the person is married and 0 if otherwise. The dummy variable metro equals 1 if the person lives in a metro area and 0 if otherwise.   Interpret the coefficient associated with metro.