Messman manufacturing will issue common stock to the public, Financial Management

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Messman manufacturing will issue common stock to the public

Messman Manufacturing will issue common stock to the public for $42.50. The expected dividend and growth in dividends are $2.12 per share and 5.80%, respectively. If the flotation cost is 8.95% of the issue's gross proceeds, what is the cost of external equity, re? Round your answer to two decimal places. SHOW WORK AND EXPLAIN ANSWER

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Financial Management: Messman manufacturing will issue common stock to the public

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Financial Management: Messman manufacturing will issue common stock to the public

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