1. E. Buggs and Company hired you as a consultant to help estimate its cost of capital. You have obtained the following data: D. - $0.85; P. - $22.00; and g - 6.00$ (constant). The CEO thinks, however, that the stock price is temporarily depressed, and that it will soon rise to $40.00 Based on the DCF approach, by how much would the cost of equity from retained earnings change if the stock price changes as the CEO expects? 11-15