12. A mining company, NTC, wants to calculate its cost of equity capital. The company's CFO has collected the following information: The company's current stock price is $32 per share. The company has very recently paid a dividend of $2 per share. The dividend is expected to grow at a constant rate of 6% per year indenitely. The company's corporate tax rate is 40%. What is the NTC's cost of equity capital? a) 10.67% b) 12.63% c) 11.47% d) 10.39% e) 11.97% Answer: b)