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To determine its cost of capital, a firm uses the Dividend Growth Model but not the Capital Asset Pricing Model. Its common stock is currently

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To determine its cost of capital, a firm uses the Dividend Growth Model but not the Capital Asset Pricing Model. Its common stock is currently selling for $31 per share. You expect the next dividend to be $1.40 per share. If the firm has a dividend growth rate of %5 that is expected to remain constant indefinitely, what is the firm's cost of equity? O 11.3% e 9.5% 14.2% 15.1% 13.8%

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