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Compute what is the company percentage cost of equity

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Question 1: Reliable Electric is a regulated public utility, and it is expected to provide steady dividend growth of 6% per year for the indefinite future. Its last dividend was $4 per share; the stock sold for $50 per share just after the dividend was paid. What is the company's percentage cost of equity? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)

Reference no: EM132578485

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