Assume that you are a consultant to D.C.F. Inc., and you have been provided with the following data: D1 = $0.40; P0 = $30.00; and g = 4.00% (constant). What is the cost of common equity from retained earnings based on the DCF approach?

A.) 1.33%

B.) 3.33%

C.) 4.44%

D.) 5.33%