The Cost of Preference Shares: Billy's Goat Coats Has a Preference

question 48

Multiple Choice

The cost of preference shares: Billy's Goat Coats has a preference share issue outstanding with a current price of $38.89. The company last paid a dividend on the issue of $3.50 per share. What is the company's cost of preference shares?

• A) 7%
• B) 8%
• C) 9%
• D) 10%

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Definitions:

Reduce Tension

Strategies or activities aimed at lowering stress or alleviating pressure in individuals.

Physical Development

Development involving the body’s physical makeup, including the brain, nervous system, muscles, and senses, and the need for food, drink, and sleep.

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A group of individuals who share a common characteristic typically within a defined period, often used in studies or statistical analyses.

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Related to or based on the methods and principles of science, emphasizing empirical evidence, and systematic experimentation.