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This Test: 45 pts poss An all-equity firm produced a dividend flow of $40,000 last year. The market value of the firm is $725,000 and

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This Test: 45 pts poss An all-equity firm produced a dividend flow of $40,000 last year. The market value of the firm is $725,000 and the dividend is expected to increase at 6% each year. What is the cost of equity capital for this firm? O A. 11.85% OB. 11.26% O C. 13.03% OD. 10.66%

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