Retained earnings versus new common stock Using the data for a rm shown in the following table, calculate the cost of retained earnings and the cost of new common stock using the constant-growth valuation model. (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Projected % Current market Dividend dividend per Underpricing Flotation cost price per share growth rate share next year per share per share $54.00 6% $3.78 $1.00 $1.75 a. The cost of retained earnings is %. (Round to two decimal places.)