Question
Boer Inc. expects to pay a dividend 2.0 in one year, it's current stock price is 10.0. and its dividend growth rate is -0.02. If
Boer Inc. expects to pay a dividend 2.0 in one year, it's current stock price is 10.0. and its dividend growth rate is -0.02. If Boer's investment bankers charge a flotation cost of 0.12 as a fraction of the price of a new stock issue, what is Boer's cost of issuing new equity?
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
10th Canadian edition
1259261018, 1259261015, 978-1259024979
