$P_0=\frac{Di{v}_1+P_1}{1+r_E}$

Barber's Green Biz has a current stock price of $$3\mathrm{.}00$ and is expected to sell for $$3\mathrm{.}15$ in one year's time immediately after it pays a dividend of $$0\mathrm{.}28.$

A$)$ Which of the following is closest to Barber's Green Biz's equity cost of capital?

B$)$ Is that high or low? How do we know?