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Last year the Black Water Inc. paid dividends $3.66. Company's dividends are expected to grow at an annual rate of 2% forever. The
company's common stock is currently selling on the market for $87.56. The investments banker will charge flotation costs $5.00 per
share. Calculate the cost of common equity financing using Gordon Model.
Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box).
x (6.52) x (%)...
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- Spring '11