Homework 13: Cost of Capital Musical Charts just paid an annual dividend of $3.8 per share. This dividend is expected to increase by 2.4 percent annually Currently, the firm has a beta of 1.54 and a stock price of $27 a share. The risk-free rate is 3.3 percent and the market rate of return is 14.4 percent. Calculate the cost of equity using the Dividend Growth Method. Rg - % Calculate the cost of equity using the Security Market Line approach. Rg - % What is the cost of equity capital for this firm? RE Allowed attempts 3 Check Answer 4