Business, 28.11.2019 00:31 emilyturchon

Weaver chocolate co. expects to earn $3.50 per share during the current year, its expected

dividend payout ratio is 65%, its expected constant dividend growth rate is 6.0%, and its

common stock currently sells for $32.50 per share. new stock can be sold to the public at the

current price, but a flotation cost of 5% would be incurred. what would be the cost of retained

earnings common equity (rs) for weaver chocolate co.? what would be the cost of equity from

new common stock (re)?

cost of retained earnings common equity (rs) =

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Weaver chocolate co. expects to earn $3.50 per share during the current year, its expected