Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Expected cash dividends are $3.00, the dividend yield is 4%, flotation costs are 4% of price, and the growth rate is 3%. Compute cost of new common stock? Toet 300 but the choices are in %'s 7.00 7.2 6.9 4.2%
Transcribed Image Text:Expected cash dividends are $3.00, the dividend yield is 4%, flotation costs are 4% of price, and the growth rate is
3%. Compute cost of new common stock?
I get 300
but the choices are in %'s
7.00
7.2
6.9
4.2%
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