8 Ellington Electronics wants you to calculate its cost of common stock. During the next 12 months, the company expects to pay dividends (01) of $2.20 per share, and the current price of its common stock is $40 per share. The expected growth rate is 7 percent. (Do not round intermediate calculations. Round the final answers to 2 decimal places.) 10 points a. Compute the cost of retained earnings (Ke). eBook Cost of retained earnings 12.5 % References b. If a $2.0 flotation cost is involved, compute the cost of new common stock (Kn) Cost of new common stock C