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Assume that Kish Inc. hired you as a consultant to help estimate its cost of common equity. You have obtained the following data: D 0
Assume that Kish Inc. hired you as a consultant to help estimate its cost of common equity. You have obtained the following data: D0 = $0.90; P0 = $27.50; and g = 7.00% (constant). Based on the DCF approach, what is the cost of common equity?
| a) | 9.29% | |
| b) | 9.68% | |
| c) | 10.08% | |
| d) | 10.50% | |
| e) | 10.92% |
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