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(Cost of internal equity) Pathos Co.'s common stock is currently selling for $21. Dividends paid last year were $. Flotation costs on issuing stock...

(Cost of internal equity) Pathos Co.'s common stock is currently selling for $21.50.

Dividends paid last year were $.70. Flotation costs on issuing stock will be 10 percent of market

price. The dividends and earnings per share are projected to have an annual growth rate of

15 percent. What is the cost of internal common equity for Pathos?

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