What is evanec cost of retained earnings

Assignment Help Finance Basics

Reference no: EM132055628

Problem: Cost of Common Equity with and without Flotation

The Evanec Company's next expected dividend, D1, is $3.23; its growth rate is 5%; and its common stock now sells for $37. New stock (external equity) can be sold to net $35.15 per share.

What is Evanec's cost of retained earnings, rs? Round your answer to two decimal places. Do not round your intermediate calculations.
rs = %

What is Evanec's percentage flotation cost, F? Round your answer to two decimal places.
F = %

What is Evanec's cost of new common stock, re? Round your answer to two decimal places. Do not round your intermediate calculations.
re = %

Reference no: EM132055628

Questions Cloud

Comparison of pathogenicity and virulence among microorganis : Comparison of pathogenicity and virulence among microorganisms. How microorganisms vary in both their pathogenicity and virulence using the opportunistic

What are weights in equity and debt : GM has a market value of $14 billion of equity and market value of $6 billion of debt. What are weights in equity and debt that are used for calculating WACC?

What is the margin of safety ratio for current operations : Matthew is currently selling 5,000 units per period and would like to earn net income of $400,000. What is the margin of safety ratio for current operations

Microbiology digestive system case study : Hannah loves cookie dough. She would eat it for every meal if she could. her mother warns her that she should not eat raw cookie dough, but she still does

What is evanec cost of retained earnings : The Evanec Company's next expected dividend, D1, is $3.23; its growth rate is 5%; and its common stock now sells for $37. New stock (external equity).

Wounds of infected patients : 1. An early form of vaccination or exposure of the healthy to the wounds of infected patients who had smallpox.

What amount of unrecognized net loss should be recognized : Market-related asset value $1,530,000. What amount of unrecognized net loss should be recognized as part of pension cost in 2010

Find what is the cost of common equity in given case : Empire Electric Company (EEC) uses only debt and common equity. It can borrow unlimited amounts at an interest rate of rd = 11% as long as it finances.

What is the scheduled monthly mortgage payment : What is the scheduled monthly mortgage payment for Month 1 paid by homeowners?

User Account

All Pages