Question: Consider the following data: D 1 = $1.55; P 0 = $49.50; g = 6.70% (constant); and F = 2.00%. What is the cost of

Consider the following data: D ₁ = $1.55; P ₀ = $49.50; g = 6.70% (constant); and F = 2.00%. What is the cost of equity raised by selling new common stock?

	a.	9.90%
	b.	9.25%
	c.	8.90%
	d.	10.75%
	e.	10.90%

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