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borteleto borteleto
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5 years ago
Which of the following differentiates the cost of retained earnings from the cost of newly-issued common stock?
A) the cost of the pre-emptive rights held by existing shareholders
B) the greater marginal tax rate faced by the now-larger firm
C) the flotation costs incurred when issuing new securities
D) the larger dividends paid to the new common stockholders
Textbook 
Foundations of Finance

Foundations of Finance


Edition: 9th
Authors:
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guzmanguzman
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borteleto Author
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#2
5 years ago
Brilliant
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