Question
Boer Inc. expects to pay a dividend $1.2 in one year, it's current stock price is $38.65. and its dividend growth rate is 1% per
Boer Inc. expects to pay a dividend $1.2 in one year, it's current stock price is $38.65. and its dividend growth rate is 1% per year. If Boer's investment bankers charge a flotation cost of 0.13 as a fraction of the price of a new stock issue, what is Boer's cost of issuing new equity?
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Financial Mathematics Derivatives And Structured Products
Authors: Chan
1st Edition
9811336954, 978-9811336959
