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Suppose that Sofia Inc's common shares sell for $26.57 per share and the firm is expecting their next dividend to be $5.95 per share. All

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Suppose that Sofia Inc's common shares sell for $26.57 per share and the firm is expecting their next dividend to be $5.95 per share. All future dividends are expected to grow at 3% per year indefinitely. What is the cost of equity (r)? (ignore flotation cost) include your answer as a percentage to two decimals (ex 40596)

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