The Cost of Equity and Flotation Costs Messman Manufacturing will issue common stock to the public for

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The Cost of Equity and Flotation Costs

Messman Manufacturing will issue common stock to the public for $

50 .

The expected dividend and the growth in dividends are $

4.00

per share and

6 %,

respectively. If the flotation cost is

16 %

of the issue's gross proceeds, what is the cost of external equity, re

?

Round your answer to two decimal places.

%

Posted Date: May 18, 2024 08:06 PM

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The Cost of Equity and Flotation Costs Messman Manufacturing will issue common stock to the public for

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