Multiple Choice
Sheepdog Rescue just paid its first annual dividend of $1.95 a share.The firm plans to increase the dividend by 1.75 percent per year indefinitely.What is the firm's cost of equity if the current stock price is $31.45 per share?
A) 6.31 percent
B) 8.06 percent
C) 10.38 percent
D) 4.93 percent
E) 5.94 percent
Correct Answer:
Verified
Correct Answer:
Verified
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