Question: 2. TechStuff is expected to grow at a 5 percent rate for as long as it s business. Currently the company's common stock is selling

2. TechStuff is expected to grow at a 5 percent rate for as long as it s business. Currently the company's common stock is selling for $40 per share. The most recent dividend paid by the firm was $3.50 per share. If new stock is issued, the firm will incur flotation costs of 9,0 percent. a. What is the company's cost of retained earnings? b. What is its cost of new equity

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