Question: If the dividend to be paid on a share of common stock $3.30 per share at t1, and the price of the stock is $50,

If the dividend to be paid on a share of common stock $3.30 per share at t1, and the price of the stock is $50, the growth rate is projected as 6%, and the underwriting fee is 5% of the stock price, calculate the cost of new equity.

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