Calculate the cost of new common equity financing of stock Q using Gordon Model
Round the answers to two decimal places in percentage form.
Last Year Dividend
Growth Rate of Dividends
Selling Price of Stock
Cost of Common Equity
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Cost of common equity = (dividends per share / current market value of stock) + Growth rate of dividends + floatation costs
= ((4.89*101%)/ 35.37) + (4.89*101%) + 3.01
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