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DTE Energy Company (DTE), a utility firm, has been paying dividends for a long time. The firm paid $3.3 last year (D0 = $3.3). It

DTE Energy Company (DTE), a utility firm, has been paying dividends for a long time. The firm paid $3.3 last year (D0 = $3.3). It is expected that the firm will increase dividends at a constant growth rate of 4%. The stock is currently selling for $120. What is the cost of (common) equity? Cost of equity = __________%

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