Internal common equity when the current market price of the common stock is $44. The...
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Finance
Internal common equity when the current market price of the common stock is $44. The expected dividend this coming year should be $3.50, increasing thereafter at an annual growth rate of 12 percent. The corporation's tax rate is 21 percent. What is the cost of internal common equity?
A preferred stock paying a dividend of 9 percent on a $130 par value. If a new issue is offered, flotation costs will be 15 percent of the current price of $161.What is the cost of capital for the preferred stock?
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