Multiple Choice
IBM expects to pay a dividend of $2 next year and expects these dividends to grow at 9% a year. The price of IBM is $80 per share. What is IBM's cost of equity capital?
A) 9.20%
B) 10.35%
C) 10.93%
D) 11.50%
Correct Answer:
Verified
Correct Answer:
Verified
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