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What is the estimated cost of equity

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Question - Assume a firm is expected to pay a dividend of P5.00per share this year the firm along with dividends is expected to grow at a rate of 6%. If the current market price of the stock is P60 per share. What is the estimated cost of equity?

a) 8.3%

b) 14.3%

c) 12.0%

d) 6.0%

Reference no: EM132731774

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