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Sun Instruments expects to issue new stock at $31 a share with estimated flotation costs of 9 percent of the market price. The company currently
Sun Instruments expects to issue new stock at $31 a share with estimated flotation costs of 9 percent of the market price. The company currently pays a $2.10 cash dividend and has a 6 percent growth rate. What are the costs of retained earnings and new common stock? Round your answers to two decimal places.
Costs of retained earnings: %
Cost of new common stock: %
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