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Ginger Industries stock has a beta of 1.30. The company just paid a dividend of $.80, and the dividends are expected to grow at 5

Ginger Industries stock has a beta of 1.30. The company just paid a dividend of $.80, and the dividends are expected to grow at 5 percent. The expected return on the market is 11.5 percent, and Treasury bills are yielding 5 percent. The most recent stock price is $82.25. a. Calculate the cost of equity using the dividend growth model method. Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. b. Calculate the cost of equity using the SML method. Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. a. Cost of equity b. Cost of equity
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Ginger Industries stock has a beta of 1,30 , The company just paid a dividend of $.80, and the dividends are expected to grow at 5 percent. The expected return on the market is 11.5 percent, and Treasury bills are yielding 5 percent. The most recent stock price is $82.25. a. Calculate the cost of equity using the dividend growth model method. Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.9., 32.16. b. Calculate the cost of equity using the SML method. Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16

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