False: Flotation costs noed to be taken into account when be taken into account when raising capital from retained earnings cory Sunny Day Manufacturing Company is considering testing in a one-year project that requires an initial investment of $500,000. To do so, it will have to issue new common stock and will incur a flotation cost of 2.00% At the end of the year, the project is expected to produce a cash intow of $595,000. The rate of return that Sunny Day oxpects to earn on its project (net of its flotation costs) (rounded to two decimal places) White Lion Homebuilders has a current stock price of $33.35 per share, and is expected to pay a pershare dividend of $2:45 at the end of the year. The company's earrings and dividends'orowth rate are expected to grow at the constant rate of 0.70% into the forerete future, When expects to incurftition costs of 2.750 of the value of its newly raised egut funds, then the flotation-adjusted fnet) cost of its new common stock rounded to two deomal places) should be Sunny Day Manufactunno Company Co's addition to earrings for the year is erected to be 1745,000. 1 tarot capital structure consists of 40 et 5 preferred, and 155 guty Determine Dunny Day Manufacturing companys retained earnings breakpoint: 11.062.500 11.00, 101 51.200.010 51254,549 VA