What is the cost of common equity-summerland resorts

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Problem: Summerland Resorts common stock currently trading at $45.00 a share. The stock is expected to pay a dividend of $3.50 a share at the end of the year, and the dividend is expected to grow at a constant rate of 5% a year. What is the cost of common equity? Please provide the authentic solution of this problem.

Reference no: EM132421976

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