= Homework: Chapter 9 Homework Question 7, P9-10 (simil. Part 1 of 4 HW Score: 0%, 0 of 11 points O Points: 0 of 1 Save Cost of common stock equity Ross Textiles wishes to measure its cost of common stock equity. The firm's stock is currently selling for $55.69. The firm expects to pay a $3.40 dividend at the end of the year (2016). The dividends for the past 5 years are shown in the following table: (Click on the icon located on the top-right comer of the data table below in order to copy its contents into a spreadsheet.) Year 2015 2014 2013 2012 2011 Dividend per Share $3.07 $2.74 $2.39 $2.25 $2.05 After underpricing and flotation costs, the firm expects to net $49.58 per share on a new issue. a. Determine the growth rate of dividends from 2011 to 2015. b. Determine the net proceeds, N, that the firm will actually receive. c. Using the constant-growth valuation model, determine the cost of retained eamings, la d. Using the constant-growth valuation model, determine the cost of new common stock, rn a. The growth rate of dividends from 2011 to 2015 18% (Round to two decimal places.)