Tennessee Valley Antiques would like to issue new equity shares if its cost of equity declines to 10.5 percent.The company pays a constant annual dividend of $1.80 per share.What does the market price of the stock need to be for the firm to issue the new shares?
A) $14.48
B) $14.83
C) $17.14
D) $17.92
E) $18.80
Correct Answer:
Verified
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