Wyatt inc uses the dividend-yield-plus-growth-rate, Finance Basics

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Wyatt inc uses the dividend-yield-plus-growth-rate

Wyatt Inc. uses the dividend-yield-plus-growth-rate approach to calculate the cost of equity. Investors expect Wyatt's year-end dividend (D1) to be $3.00 a share, its expected dividend growth rate is 5%, and the stock currently sells for $60 a share. What is Wyatt's cost of equity?

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Finance Basics: Wyatt inc uses the dividend-yield-plus-growth-rate

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