Question
ABC Inc. expects to pay a dividend of $3 next year and expects these dividends to grow at 8% a year. The price of ABC
ABC Inc. expects to pay a dividend of $3 next year and expects these dividends to grow at 8% a year. The price of ABC is $100 per share. What is ABC's cost of equity capital?
Group of answer choices
11%
8%
5.5%
5%
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Advanced Accounting
Authors: Joe Hoyle, Thomas Schaefer, Timothy Doupnik
10th edition
0-07-794127-6, 978-0-07-79412, 978-0077431808
