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Royal Mediterranean Cruise Line's common stock is selling for $22 per share. The last dividend was $1.20, and the dividends are expected to grow at

Royal Mediterranean Cruise Line's common stock is selling for $22 per share. The last dividend was $1.20, and the dividends are expected to grow at a 5% annual rate. Flotation costs on new stock sales are 7% of the selling price. What is the cost of Royal's new common stock?

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