Your companyrsquos stock sells for 40 per share its last


Your? company’s stock sells for? $40 per? share, its last dividend? (D0) was? $2.00, its growth rate is a constant 5? percent, and the company will incur a flotation cost of? $4 per share if it sells new common stock. What is the? firm’s cost of new? equity, ke or? kn? A. ?12.30% B. ? 9.94% C. ?10.50% D. ?9.20% E. ?10.83%

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Financial Management: Your companyrsquos stock sells for 40 per share its last
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