What is the cost of equity from retained earnings

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Teall Development Company hired you as a consultant to help them estimate its cost of capital. You have been provided with the following data. The company is expected to pay the divided of $1.45 and currently sells at a price of $38.00; and its constant growth rate is 6.50%. Based on the DCF approach, what is the cost of equity from retained earnings?

Reference no: EM132799537

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