. Use the following information for Abbot Dairies to calculate the cost of common stock if selling new stock. Abbot can borrow money from the bank at an interest rate of 6% per year Abbot has no preferred stock. Abbot's common stock is currently selling for $38 per share. Abbot paid a dividend yesterday (DC) of $3.636 per share, and the dividend is growing at a constant rate of 10%. Beta for Abbot's stock is 1.4 which is riskier than the average stock Flotation costs to sell new common stock are equal to $4.00 per share. Abbot expects retained earnings next year to be sufficient to cover the equity portion of its capital budget, and the cost of retained earnings is 20.53% Abbot's tax rate is 40% - Abbot's optimal capital structure is 30% debt and 70% common equity. OA. 17.53% OB. 21.76% OC. 21.11% OD. 22.53%