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The following financial information is available on AbbVie Group: Current per share market price: $28.95 Current (t = 0) per share dividend: $2.40 Expected long-term

The following financial information is available on AbbVie Group: Current per share market price: $28.95 Current (t = 0) per share dividend: $2.40 Expected long-term growth rate: 9.80% AbbVie Group can issue new common stock to net the company $25.50 per share. Determine the cost of external equity capital using the dividend capitalization model approach. (Hint: Ch12) Question 3 options: 20.13% 19.21% 18.09% 18.90%

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