Question
Your company's stock sells for P50/share, its dividend was P2.00, its growth rate is a constant 5%, and the company will incur a flotation cost
Your company's stock sells for P50/share, its dividend was P2.00, its growth rate is a constant 5%, and the company will incur a flotation cost of 15% if it sells new common stock. What is the firm's cost of new equity?
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Financial and managerial accounting
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
1st edition
111800423X, 9781118233443, 1118016114, 9781118004234, 1118233441, 978-1118016114
