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Using the data for a firm shown in the following table, calculate the cost of retained earnings AND the cost of new common stock using
Using the data for a firm shown in the following table,
calculate the cost of retained earnings AND the cost of new common stock
using the constant-growth valuation model.
CurrentMarket Price Per Share | Dividen Growth Rate | Projected Dividend per share next year | Underpricing per share | Floatation cost per share |
$34.00 | 8% | $1.36 | $1.50 | $2.25 |
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