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Company ABC has hired you to estimate their cost of capital from retained earnings (rs). They have given you the following information: the last dividend

Company ABC has hired you to estimate their cost of capital from retained earnings (rs). They have given you the following information: the last dividend paid is $0.85, the current share price is $19.36, and dividends have grown at a constant rate 3.2%. Enter your answer as a decimal with four places of precision.

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