What is the cost of equity using the geometric

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Company issues a dividend of 1.92 per share on its common stock. The company paid dividends of 1.50; 1.65' 1.72; and 1.83 per share in the last four years. Stock currently sells for $40 dollars. What is best estimate of cost of equity capital using the arithmetic average growth rate in dividends?

What is the cost of equity using the geometric average growth rate?

Reference no: EM131548792

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