Given that shares have an expected dividend stream of 10 cents in perpetuity and that the current market price of the shares is $2.40,calculate the cost of equity capital of these shares.
A)8%
B)12%
C)10%
D)4.2%

Question

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The Answer of Given that shares have an expected dividend stream of 10 cents in perpetuity and that the current market price of the shares is $2.40,calculate the cost of equity capital of these shares.
A)8%
B)12%
C)10%
D)4.2%

Given That Shares Have an Expected Dividend Stream of 10