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21. MKK & Co. has decided to issue common stock for the expansion of its business. Currently, the firm is issuing its common stock at
21. MKK \& Co. has decided to issue common stock for the expansion of its business. Currently, the firm is issuing its common stock at RM45. The latest dividend paid by the firm was RM2. The dividend is expected to grow at an annual rate of 5 percent, and the floaltation cost is estimated at 4 percent of the current price. Determine the cost of common stock. a) 9.67 percent b) 9.63 percent c) 9.44 percent d) 9.86 percent
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