What is the company''s cost of equity

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CALCULATING COST OF EQUITY The Absolute Zero Co. just issued a dividend of $3.40 per share on it common stock. The company is expected to maintain a constant 4.5 percent growth rate in its dividends indefinitely. If the stock sells for $35 a share, what is the company's cost of equity?

The Graber Corporation's common stock has a bet of 1.15. If the risk is 3.5 percent and the expected return on the market is 11 percent, what is the company's cost of equity capital?

 

Reference no: EM131018487

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What is the company''s cost of equity : CALCULATING COST OF EQUITY The Absolute Zero Co. just issued a dividend of $3.40 per share on it common stock. The company is expected to maintain a constant 4.5 percent growth rate in its dividends indefinitely. If the stock sells for $35 a share, w..
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