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The Evanec Company's next expected dividend, D 1 , is $3.60; its growth rate is 4%; and its common stock now sells for $37.00. New
The Evanec Company's next expected dividend, D1, is $3.60; its growth rate is 4%; and its common stock now sells for $37.00. New stock (external equity) can be sold to net $29.60 per share.
- What is Evanec's cost of retained earnings, rs? Do not round intermediate calculations. Round your answer to two decimal places. rs = %
- What is Evanec's percentage flotation cost, F? Round your answer to two decimal places. F = %
- What is Evanec's cost of new common stock, re? Do not round intermediate calculations. Round your answer to two decimal places. re = %
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