Calculating Cost of Equity: The Mays Co. just issued a dividend of $2.60 per share on its common stock. The company is expected to maintain a constant 6 percent growth rate in its dividends indefinitely. If the stock sells for $60 a share, what is the company's cost of equity? Calculating Cost of Equity: The City Street Corporation's common stock has a beta of 1.2. If the risk-free rate is 4.5 percent and the expected return on the market is 13 percent, what is the company's cost of equity capital