Question: 5 & 6 please. show all work! 5. A firm just paid an annual dividend of ( $ 2 ) per share. This dividend is

5 & 6 please. show all work!

5. A firm just paid an annual dividend of \$ \\$ 2 \$ per share. This dividend is expected to grow at a rate of 5 percent per year forever. If the current market price for a share of the company's stock is \$ \\$ 50 \$, find the cost of equity. 6. Treasury bills currently have a return of 5 percent and the return on the S\\&P 500 is 12 percent. If a company has a beta of 1.50 , what is its required rate of return on equity (or cost of equity)

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