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You are a financial manager of a firm and are asked to assess the cost of capital of your firm. You know that Your firm
You are a financial manager of a firm and are asked to assess the cost of capital of your firm.
You know that
Your firm is going to pay dividend $ per share
The current stock price is $ per share
Firm beta is lower than market average
Constant growth rate is
Expected market return is and risk free rate is
There is totally million of outstanding shares of stocks, and for each dollar equity, firm issued $ debt
Cost of borrowingissuing bond is
Corporate tax rate
What is the cost of equity common stock using dividend growth model keep digit after decimal point, eg
What is the cost of equity common stock using CAPM model keep digit after decimal point, eg
What is the WACC for your firm using cost of equity from CAPM keep digit after decimal point, eg
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