Gray's Tools just issued a dividend of $1.60 per share on its common stock. The company is expected to maintain a constant 4 percent growth rate in its dividends indefinitely. If the stock sells for $31 a share, what is the company's cost of equity?
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8.81 percent |
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9.37 percent |
|
9.94 percent |
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10.32 percent |
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11.46 percent |