Suppose Company X just issued a dividend of $$2\mathrm{.}73$ per share on its common stock. The company paid dividends of $$2\mathrm{.}31,$ $$2\mathrm{.}39,$ $$2\mathrm{.}48,$ and $$2\mathrm{.}58$ per share in the last four years. If the stock currently sells for $$43,$ what is your best estimate of the company$$s cost of equity capital using the arithmetic average growth rate in dividends? What if you use the geometric average growth rate?Arithmetic ave

Geometric ave

Calculate g using geometric