What is the average cost of retained earnings avg of capm


The company has 5 million shares of common stock outsanding with a currently price of $14 per share. The stock exhibits a constand growth rate of 10 percent. The last dividend was $.80. New stock could be sold with flotation costs, including market pressure, of 15 percent. What is the average cost of retained earnings (avg. of CAPM and DCF)?

Request for Solution File

Ask an Expert for Answer!!
Financial Management: What is the average cost of retained earnings avg of capm
Reference No:- TGS02854897

Expected delivery within 24 Hours