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Suppose Tesla Corp is issuing new common stock at a market price of $17. The company gave $0.72 dividend last year and expects it to
Suppose Tesla Corp is issuing new common stock at a market price of $17. The company gave $0.72 dividend last year and expects it to grow at an annual rate of 4.4% in the foreseeable future. If the flotation costs is expected to be 1.7% of market price of the stock then, what is company's cost of equity? (State your answer in percentage with two decimal point
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