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Assume that you are a consultant to Broske Inc., and you have been provided with the following data: D 1 = $0.67; P 0 =

Assume that you are a consultant to Broske Inc., and you have been provided with the following data: D₁ = $0.67; P₀ = $45.00; and g = 8.00% (constant). What is the cost of equity from retained earnings based on the DCF approach?

a. 10.15%

b. 7.59%

c. 11.10%

d. 8.63%

e. 9.49%

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