What is the cost of Common Stock for Foggy Futures Weather Forecasters? The firm is in the 40% tax bracket.  The optimal capital structure is listed below: The firm's common stock is currently selling for $65 per share. The firm expects to pay cash dividends of $7 per share next year. The dividends have been growing at 5%. The flotation costs amounted to $5 per share.

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
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What is the cost of Common Stock for Foggy Futures Weather Forecasters? The firm is in the 40% tax bracket.  The optimal capital structure is listed below:

The firm's common stock is currently selling for $65 per share. The firm expects to pay cash dividends of $7 per share next year. The dividends have been growing at 5%. The flotation costs amounted to $5 per share. 

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