please answer all 3 question

Chp 10 q4

The cost of equity using the bond yield plus risk premium approach The Harrison Company is closely heid and, therefore, cannot generate reliable inputs with which to use the CApM method for estimating a company's cost of internal equity. Harrison's bonds yieid 11.52%, and the firm's analysts estimate that the firm's risk premjum on its stock over its bonds is 5.89. Based on the bond-yleld-plus-risk-premium approach, Harrison's cost of internal equity is: 17.4125 21.76% 16.54% 20.89% The cost of equity using the discounted cash flow (or dividend growth) approach Tucker Enterprises's stock is currently selling for $32,45 per share, and the firm expects its per-share dividend to be $2.35 in one vear. Analysts project the firm's growth rate to be constant at 7.27%. Estimating the cost of equity using the discounted cash flow (or dividend growth) approach, What is Tucker's cost of internal equity? 13.78% 18.14% 14,51% 19.59% istimating growth rates It is often difificult to estimate the expected future dividend growth rate for use in estimating the cost of existing equity using the DCF or DG approach. In oeneral, there are three avalable methods to generate such an estimste: - Camy forward a historical realized orowth rate, and apply it to the future. - Locate and apply an expected future growth rate prepared and published by security analyets. - Use the retention growth model. Suppose Tucket is currenty distributing 7574 of is earnings in the form of cash dividends, it has also historically generated an average return on equity (ROE) of 24th. Ticker's estimated gronth rate is