What is the cost of common equity from retained earnings

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Assume that you are a consultant to Tintle Inc., and you have been provided with the following data: D1 = $0.81; P0 = $23.43; g = 4.00% (constant). What is the cost of common equity from retained earnings based on the DCF approach?

A) 3.46%

B) 4.00%

C) 4.81%

D) 4.97%

E) 7.46%

Reference no: EM13939462

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