Question
Sea Mineral Resource Company (Ticker: SMRC) has a current stock price of $3.00/share and is expected to sell for $3.15 in one year's time, immediately
Sea Mineral Resource Company (Ticker: SMRC) has a current stock price of $3.00/share and is expected to sell for $3.15 in one year's time, immediately after it pays a dividend of $0.28. Which of the following is closest to SMRC's current equity cost of capital?
| a. | 14.33% | |
| b. | 8.60% | |
| c. | 5.00% | |
| d. | 7.17% | |
| e. | 17.91% |
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Financial Reporting and Analysis
Authors: Lawrence Revsine, Daniel Collins, Bruce Johnson, Fred Mittelstaedt, Leonard Soffer
7th edition
1259722651, 978-1259722653
