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Financial Management Competitive Exam: Practice Test 5 (Chapter 5)
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For each component of capital, a required rate of return is considered as
If the payout ratio is 0.45 then the retention ratio will be
The stock selling price is $35, expected dividend is $5 and expected growth rate is 8% then cost of common stock would be
The retention ratio is 0.55 and the return on equity is 12.5% then the growth retention model would be
The preferred dividend is divided by preferred stock price multiply by (1-floatation cost) is used to calculate
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