Question: Q4 Check My Work (3 remaining) eBook Problem Walk-Through Jarett & Sons's common stock currently trades at $29.00 a share. It is expected to pay

Check My Work (3 remaining) eBook Problem Walk-Through Jarett & Sons's common stock currently trades at $29.00 a share. It is expected to pay an annual dividend of $1.00 a share at the end of O the year (D1 = $1.00), and the constant growth rate is 7% a year. O a. What is the company's cost of common equity if all of its equity comes from retained earnings? Do not round intermediate calculations. Round your answer to two decimal places. % b. If the company issued new stock, it would incur a 14% flotation cost. What would be the cost of equity from new stock? Do not round O intermediate calculations. Round your answer to two decimal places. O % O Check My Work (3 remaining)

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