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QUESTION

Homework #6F (Cost of equity financing)

Homework #6F (Cost of equity financing)

Finance

Question 1 (1 point)

 

Calculate the cost of new common equity financing of stock Q using Gordon Model

Round the answers to two decimal places in percentage form (Write the percentage sign in the "units" box)

Last Year Dividend

Growth Rate of Dividends

Selling Price of Stock

Floatation Costs

Cost of Common Equity

Stock Q

$3.40

5%

$55.80

$2.03

?

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