I do not understand the question. Please help me understand. Check the cost of equity determined in the case against the current Coca Cola stock price. Find the recent growth rate and use the formula Return on equity = (Dividend next year divided by current price) + growth rate. Is it close, if not why would it be different? Below is the information I have.

Check the cost of equity determined in the case against the current Coca Cola stock price. Find the recent growth rate and use the formula Return on equity = (Dividend next year divided by current price) + growth rate. Is it close, if not why would it be different?

5. The required rate of return for Coca-Cola stock given within the paper is 10.77% The current required rate of return for Coca-Cola is 8.15%. The current growth rate is as follows Value gt Year 91 10.05% 8.74% g2 7.42% g3 6.11% g4 5 and thereafter g5 4.79% The Coca-Cola Co NYSE: KO Feb 21, 2:54 PM EST 41.36 USD t 0.12 (0.30%) Coca-Cola Historical Dividend Yield (TTM) Data View and export this data going b Data for this Date Range Feb. 21, 2017 3.39% Return on equity 3.39 41.36+ 10.05-10 1319