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Raven Co. expects to pay a dividend of $5.25 per share in one year. The current price of their common stock is $65.50 per share.
- Raven Co. expects to pay a dividend of $5.25 per share in one year. The current price of their common stock is $65.50 per share. What is the cost of internal common equity if the long-term growth in dividends is projected to be 5.2 percent indefinitely?
- Apply the appropriate mathematical model to solve the problem.
- Calculate the correct solution to the problem. Submit all answers as percentages and round to two decimal places.
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