Game Studio, LLC is expected to pay an annual dividend of $0.70 a share next year. The market price of the stock is $17.20 and the growth rate is 6 percent. What is the firm's cost of equity?     A.7.58 percent     B 7.91 percent     C 8.24 percent     D 9.08 percent     E 10.07 percent

Essentials Of Investments
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Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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Game Studio, LLC is expected to pay an annual dividend of $0.70 a share next year. The market price of the stock is $17.20 and the growth rate is 6 percent. What is the firm's cost of equity?

 

 

A.7.58 percent

 

 

B 7.91 percent

 

 

C 8.24 percent

 

 

D 9.08 percent

 

 

E 10.07 percent

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