Question
Great Tuna Inc. currently pays $5 dividend on its common stock. These dividends are expected to grow by 4% each year perpetually. The current price
Great Tuna Inc. currently pays $5 dividend on its common stock. These dividends are expected to grow by 4% each year perpetually. The current price of Great Tuna iInc stock is $63. Great Tuna Inc. plans on raising $75 million in capital by issuing common stock. The flotation costs are 3%. What is the cost of common stock for Great Tuna Inc.?
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CFIN
Authors: Scott Besley, Eugene Brigham
5th edition
1305661656, 9781305888036 , 978-1305666870
