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Falon Corporation is issuing new common stock at a marke price of $20.00. Dvidends last year were $1.27 and are expected to grow at an

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Falon Corporation is issuing new common stock at a marke price of $20.00. Dvidends last year were $1.27 and are expected to grow at an annual rate of 7.1 gercent forever. What is Falecis cost of common equity capital? 12.09%13.00%14.50%12.75% Vou own 200 thares of Somner Reiources' peferted stock, which cutrently sells for 540 per share and pays onnual dividends of 53.40 per share if the tharket's fequed Yield or simlar shares is 15 pertert, shoild you sell your shares or buy more? \$4 00 , Bet the shares $22.67, Sel the shares \$22.5, Buy the Shwes 53400 , Byy the Sharei

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