COST OF COMMON EQUITY WITH AND WITHOUT FLOTATION

The Evanec Company's next expected dividend, D1, is $3.27; its growth rate is 7%; and its common stock now sells for $38. New stock (external equity) can be sold to net $32.30 per share.

A.) What is Evanec's cost of retained earnings, rs? Round your answer to two decimal places. Do not round your intermediate calculations. rs=_____%

B.) What is Evanec's percentage flotation cost, F? Round your answer to two decimal places. F=_____%

C.) What is Evanec's cost of new common stock, re? Round your answer to two decimal places. Do not round your intermediate calculations. re=_____%