D1 = Price * Div Yield
= $ 46.75 * 4%
= $ 1.87
Ke = [ D1 / P0 (1- Floatation COst ) ] + g
= [ 1.87 / 46.75(1 - 0.15) ] + 0.03
= [ 1.87 / 39.74 ] + 0.03
= 0.0471 + 0.03
= 0.0771 i.e 7.71%
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