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Chelsea Fashions is expected to pay an annual dividend of $4 a share next year. The market price of the stock is $90 per share,

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Chelsea Fashions is expected to pay an annual dividend of $4 a share next year. The market price of the stock is $90 per share, and the growth rate of dividend is expected to be 7% for foreseeable future. What is the firm's cost of equity as per the DDM? A. 7.58% B. 7.91% C. 8.24% D. 11.44%

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