Quantitative Problem: Barton Industries expects next year's annual dividend, D1, to be $2.30 and it expects dividends to grow at a constant rate gL = 5%. The firm's current common stock price, P0, is $23.80. If it needs to issue new common stock, the firm will encounter a 6% flotation cost, F. What is the flotation cost adjustment that must be added to its cost of retained earnings? Round your answer to 2 decimal places. Do not round intermediate calculations. %

What is the cost of new common equity? Round your answer to 2 decimal places. Do not round intermediate calculations. %