Cost of equity. Suppose ABC Company has stock currently selling at $21.00 per share that just paid

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Cost of equity. Suppose ABC Company has stock currently selling at

$21.00 per share that just paid dividends of $1.75. They have a required rate of return of 12%. We have the following data for their historical dividends.

Calculate the cost of equity using the DGM approach.image text in transcribed

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