the slope of the line is the market premium. none of these is false. the x-axis and y-axis represent the beta and expected return, respectively. QUESTION 10 12.5 points Save Ar A firm needs to issue some stocks for a project. It just paid a dividend of $3 per share, and the next dividend will be paid in exactly one year. Its dividend is expected to grow at 5% forever, and current stock is trading at $50 per share. Suppose the flotation cost is 1%, what is the cost of new equity? 6.0% O 11.4% 11.1% O 12.4%