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Conner Corporation has a common stock price of $30 per share today. The last dividend per share was $3 (D0 = $3). The long-run growth

Conner Corporation has a common stock price of $30 per share today. The last dividend per share was $3 (D0 = $3). The long-run growth rate for the company is a constant 5%. If the company issues the new common stock, the net price received by the company is $27.6 per share. What are the company's dividend yield (DY), capital gains yield (CGY), and the percentage flotation cost required to sell the new common stock (F)?

DY = 10.5%; CGY = 5%; F = 8%

DY = 5%; CGY = 10%; F = 8%

DY = 10%; CGY = 8%; F = 5%

DY = 10.5%; CGY = 5%; F = 4%

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