What is nas cost of external equity

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Northeast Airlines (NA) has a current dividend of $1.80. Dividends are expected to grow at a rate of 7 percent a year into the foreseeable future. What is NA's cost of external equity if its stock can be sold to net $46 a share?

a)21% b) 10.9% c) 11.2% d) 7.20%

 

Reference no: EM13269599

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