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The Lo Tech Co. just issued a dividend of $2.00 per share on its common stock. The company is expected to maintain a constant 8

The Lo Tech Co. just issued a dividend of $2.00 per share on its common stock. The company is expected to maintain a constant 8 percent growth rate in its dividends indefinitely.

Required:

If the stock sells for $56.00 a share, what is the companys cost of equity?

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