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Your company's stock sells for $37 per share, the next dividend (D1) will be $1.2, its growth rate is a constant 3 percent, and the

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Your company's stock sells for $37 per share, the next dividend (D1) will be $1.2, its growth rate is a constant 3 percent, and the company will incur a flotation cost of 11 percent if it sells new common stock. What is the firm's cost of new equity, re? 6.74% 7.04% 6.94% 6.64% 6.84%

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