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You are a finance intern at Chambers and Sons and they have asked you to help estimate the company's cost of common equity. You obtained

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You are a finance intern at Chambers and Sons and they have asked you to help estimate the company's cost of common equity. You obtained the following data: D = $1.25: Po = $27.50; gL = 5.00% (constant); and F = 6.00%. What is the cost of equity raised by selling new common stock? 9.06% 9.44% 9.84% 10.23% 10.64%

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