What is the company cost of common equity

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Midyear on July 31st, the Andrews Corporation's balance sheet reported: Total Liabilities of $82.529 million Cash of $10.050 million Total Assets of $224.741 million Retained Earnings of $83.363 million. What was the Andrews Corporation's common stock?

a. $68.899 million

b. $225.575 million

c. $235.625 million

d. $58.849 millionJarett & Sons's common stock currently trades at $29.00 a share. It is expected to pay an annual dividend of $1.25 a share at the end of the year (D1 = $1.25), and the constant growth rate is 4% a year.

What is the company's cost of common equity if all of its equity comes from retained earnings? Round your answer to two decimal places. Do not round your intermediate calculations.

%

If the company issued new stock, it would incur a 8% flotation cost. What would be the cost of equity from new stock? Round your answer to two decimal places. Do not round your intermediate calculations.

Reference no: EM131915018

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