In the spring of 2018, the Brille Corporation was involved in issuing new common stock at a

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In the spring of 2018, the Brille Corporation was involved in issuing new common stock at a market price of $35. Dividends last year were $1.50 and are expected to grow at an annual rate of 8 percent forever. Flotation costs will be 6 percent of market price. What is Brille’s cost of equity for the new issue?

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Foundations Of Finance

ISBN: 9780135160619

10th Edition

Authors: Arthur J. Keown, John H. Martin, J. William Petty

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