6. Shilling Co.'s common stock currently sells for $40.00 per share, the company expects to earn $3.50 per share during the current year, its expected payout ratio is 40%, and its expected constant growth rate 4.0%. New stock can be sold to the public at the current price, but a flotation cost of 10% would be incurred. By how much would the cost of new stock exceed the cost of retained earnings? A. 0.60% B. 0.72% C. 0.39% D. 0.26% E. 0.51%