Tip Top Hats (TTH) is expected to grow at a 6 percent rate for as...
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Tip Top Hats (TTH) is expected to grow at a 6 percent rate for as long as it is in business. Currently the company's common stock is selling for $28 per share. The most recent dividend paid by TTH was $3.00 per share. If new common stock is issued, TTH will incur flotation costs equal to 9.0 percent.
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What is the company's cost of retained earnings? Round your answer to two decimal places.
%
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What is its cost of new common equity? Round your answer to two decimal places.
%
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