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QUESTION 9 Company A has a stock price of $29. The firm will pay a dividend next year of $2.89, and its dividend is expected

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QUESTION 9 Company A has a stock price of $29. The firm will pay a dividend next year of $2.89, and its dividend is expected to grow at a rate of 4.1% per year thereafter. What is your estimate Company's A cost of equity capital? NOTE: Answer in percentages. If your answer is 0.0204, you must answer 2.04. Do not use the "S" sign. QUESTION 10 Company A has a price of $32 and will issue a dividend of $3.24 next year. It has a beta of 191, the risk-free rate is 5.6%, and it estimates the market risk premium to be 7.2%. Under the Capital Growth Dividend Model (CDGM), at what rate do you need to expect Company's A dividends to grow to get the same equity cost of capital as with using the Capital Asset Pricing Model (CAPM)? NOTE: Answer in percentages. If your answer is 0.0204, you must answer 2.04. Do not use the "%" sign. QUESTION 11 Company A has a cost of equity of 20,2% has an effective cost of debt of 7.9% and is financed 78% with equity and the remaining with debt. What is this firm's WACC? NOTE: Answer in percentages. If your answer is 0.0204, you must answer 2.04. Do not use the "%" sign

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