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I have some difficulties doing this problem. I would appreciate if someone can help. A stock with a market price of $24 will pay a
I have some difficulties doing this problem. I would appreciate if someone can help.
A stock with a market price of $24 will pay a dividend next year of $1 and the dividend has a growth rate of 10%. What is the implied cost of equity capital?
a. 5.8%
b. 10.0%
c. 13.8%
d. 14.2%
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