What is the cost of equity for the firm for clancy

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Problem 1: Clancy's just paid its annual dividend of $1.48 per share. Analysts expect the stock price to increase by 2.1 percent annually and value the stock at $14.65 per share currently. What is the cost of equity for this firm?

Multiple Choice

Option 1: 12.41 percent
Option 2: 13.32 percent
Option 3: 12.20 percent
Option 4: 13.87 percent
Option 5: 14.06 percent

Reference no: EM132952507

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