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The company is expected to maintain a constant 6 percent

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Suppose a company just issued a dividend of $1.90 per share on its common stock (e.g., D0 = $1.90). The company is expected to maintain a constant 6 percent growth rate in its dividends indefinitely. If the stock currently sells for $38 per share, what is the cost of the company's common equity (rs)?

Reference no: EM13569250

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