Question: how to work this out step by step ? 6) Will Co. is expected to pay a dividend of S2 per share at the end

how to work this out step by step ?

6) Will Co. is expected to pay a dividend of S2 per share at the end of year (Divi), and the dividends are expected to grow at a constant rate of 4 percent forever . If the current price of the stock is $20 per share, calculate the expected return or the cost of equity capital for the firm A) 10 percent B) 4 percent C) 14 percent D) 20 percent

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