What is the cost of its common equity capital

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Reference no: EM131920319

Seerex Wok Co. is expected to pay a dividend of $1.00 one year from today on its common shares. That dividend is expected to increase by 7.10 percent every year thereafter. If the price of Seerex common stock is $21.09, what is the cost of its common equity capital? (Round intermediate calculations to 4 decimal places, e.g 0.5212 and final answer to 2 decimal places, e.g. 15.25%.)

Cost of common equity

Reference no: EM131920319

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