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You were hired to help estimate its cost of capital. You obtained the following data: D1 = $1.25; P0 = $45.00; g = 5.00% (constant);

You were hired to help estimate its cost of capital. You obtained the following data: D1 = $1.25; P0 = $45.00; g = 5.00% (constant); and F = 6.00%. What is the cost of equity raised by selling new common stock? 9.94% 7.80% 6.52% 9.71% 7.96%

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