ktjean2172 ktjean2172

12-04-2024
Business

contestada

Using the constant growth model, a firm's expected dividend yield (D₁) is 4% of the stock price, and its growth rate is 5%. If the tax rate is 21%, what is the firm's cost of equity?
a. 5,85%
b. 6.65%
c. 10%
d. 90%

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