What is the cost of royals retained earinings

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Royal mediterranean cruise lines common stock is selling for $22 per share. The last dividen was $1.20, and the dividends are expected to grow at a 6% annnual rate. Flotation cost on new stock sales are 5% of the selling price. What is the cost of Royals retained earinings?

a. 12.09%
b. 11.45%
c. 11.78%
d. 5.73%

 

Reference no: EM13300663

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