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Business, 23.12.2020 01:10 tcjet

Assume that you are an intern with the Brayton Company, and you have collected the following data: The yield on the company's outstanding bonds is 7.75%; its tax rate is 40% and bond flotation cost is immaterial. The expected dividend on the company's common stock to be paid one year form today is $0.65 a share; the dividend is expected to grow at a constant rate of 6.00% a year; the price of the stock is $15.00 per share; the flotation cost for selling new shares is F

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