Answer:
28.63%
Explanation:
The computation of the cost of preferred stock is shown below:
Cost of the preferred stock = Dividend ÷ Price of the stock
where,
Dividend is
= $1,000 × $15%
= $150
And, the price of the stock is
= Market value of the stock - flotation cost
= $576 - $52
= $524
So, the cost of preferred stock is
= $150 ÷ $524
= 28.63%
We ignored the marginal tax rate i.e 40%
It is true that there is little distinction between the functions of a board of directors and those of a board of advisers in a wholly owned or closely held corporation.
<h3>What is a board of directors and
board of advisors? </h3>
A board of directors refers to the elected group of individuals that represent shareholders while the board of advisors refers to the group of individuals who are appointed to provide counsel businesses.
In conclusion, it is true that there is little distinction between the functions of a board of directors and those of a board of advisers in a wholly owned or closely held corporation.
Read more about board
<em>brainly.com/question/4771644</em>
Answer:
Explanation:
B or C are the benefits of sole proprietorship,
D can be used by any organization,
so only A, raise capital by selling stock in company.
