1)Mountain Enterprises has a current stock price of $22.35 per share, and is expected to pay a per-share dividend of $1.36 at the end of the year. The companys earnings and dividends growth rate are expected to grow at the constant rate of 8.70% into the foreseeable future. If Mountain Enterprises expects to incur flotation costs of 3.750% of the value of its newly-raised equity funds, then the flotation-adjusted (net) cost of its new common stock (rounded to two decimal places) should be?

2)Randal Enterprisess stock is currently selling for $25.67 per share, and the firm expects its per-share dividend to be $1.38 in one year. Analysts project the firms growth rate to be constant at 5.72%. Estimating the cost of equity using the discounted cash flow (or dividend growth) approach, what is Randals cost of internal equity?