As the assistant to the cfo of johnstone inc., you must estimate its cost of common equity. you have been provided with the following data: d0 = $0.80; p0 = $22.50; and gl = 8.00% (constant). based on the dividend growth model, what is the cost of common from reinvested earnings? a. 10.69%b. 11.25%c. 11.84%d. 12.43%e. 13.05%

c. 11.84%

Explanation:

We start fro mthe dividend gros model formula:

We must notice we need next year dividend to calculatethe value of the stock today so we calculate this first:

D1 = D0 x (1+g) = 0.8 x (1+.08) = 0.864

Now we plug the values into the formula and solve for return:

return = 0.1184 = 11.84%

answer: a. the kind of population living in your neighbourhood.

the census explorer data tool by the us census bureau allows the user to zoom in on any neighbourhood within the united states and find the kind of people residing in that by race and age.  

the tool needs to needs to be used twice – once in order to find what type of people reside in a neighbourhood, and then to see the age groups of the people in the same neighbourhood.