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AML Foods expects to issue new stock at $45 per share with estimated flotation cost of 8 percent of the market price. The company currently

AML Foods expects to issue new stock at $45 per share with estimated flotation cost of 8 percent of the market price. The company currently pays an annual dividend of $3.10 and has a 6% growth rate. What are the cost of retained earnings and new common stock?

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