The Spencer Company's next expected dividend, D1, is $3.57; its growth rate is 7%; and...
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The Spencer Company's next expected dividend, D1, is $3.57; its growth rate is 7%; and its common stock now sells for $38.00. New stock (external equity) can be sold to net $34.20 per share.
What is Spencer's cost of retained earnings, rs? Do not round intermediate calculations. Round your answer to two decimal places. rs = %
What is Spencer's percentage flotation cost, F? Round your answer to two decimal places. F = %
What is Spencer's cost of new common stock, re? Do not round intermediate calculations. Round your answer to two decimal places. re = %
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