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eBook Problem Walk-Through The future earnings, dividends, and common stock price of Callahan Technologies Inc we expected to grow $ per year. Chris share; Its

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eBook Problem Walk-Through The future earnings, dividends, and common stock price of Callahan Technologies Inc we expected to grow $ per year. Chris share; Its last dividend was $2.40; and it will pay $2.52 dividend at the end of the current year. - Using the DCF approach, what is its cost of common equity? Do not round intermediate calculation. Round your rower to tweede b. If the firm's beta lis 2.1, the risk-free rate is 7%, and the average return on the market is 13, what wo be the firm's coveted comments Round your answer to two decimal places. CUP c. If the firm's bonds earn a return of 11%, based on the bond-yield-plus-risk-premium approach, what will be 1,7 Use the judgmenta k premium was in you calculations. Round your answer to two decimal places. % d. If you have equal confidence in the inputs used for the three approaches, what is your estimate of Callahan's cost of common equity? Do not round intermediate calculations. Round your answer to two decimal places %

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