Diggin tools just issued new preferred stock, which sold for $85 in the stock markets. holders of the stock will receive an annual dividend equal to $9.35. the flotation costs associated with the new issue were 6 percent and diggin's marginal tax rate is 30 percent. which of the following is the component cost of preferred stock, rps? (round off the answer to two decimal places,
a. 11.05 percent
b. 10.75 percent
c. 11.70 percent
d. 10.52 percent
e. 12.25 percent

An allergy products superstore buys 6000 of their most popular model of air filters each year. the price of the air filters is $18. the cost of ordering and receiving shipments is $12 per order. accounting estimates annual carrying costs are 20% of the price. the supplier lead time is 2 days. the store operates 240 days per year. each order is received from the supplier in a single delivery. there are no quantity discounts. what is the store’s minimum total annual cost of placing orders & carrying inventory?