The common stock for BeeSmith Corporation sells for $60 a share. Last year the firm paid a $2.25 dividend, which is expected to grow 3.44 percent per year into the indefinite future. The risk-free rate of interest is currently 4 percent, the market risk premium is estimated to be 5 percent, and BeeSmith Beta is .80.

a. What is the firms cost of common equity using the dividend discount model?

b. What is the firms cost of equity using the SML or CAPM method?

(if possible please show excel spreadsheet with formulas visible I thank you so much in advance)