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Business, 26.11.2019 03:31 needhelpwithHW10

Sunny day manufacturing company has a current stock price of $22.35 per share, and is expected to pay a per-share dividend of $2.03 at the end of next year. the company's earnings' and dividends' growth rate are expected to grow at the constant rate of 8.70% into the foreseeable future. if sunny day expects to incur flotation costs of 5.00% of the value of its newly-raised equity funds, then the flotation-adjusted (net) cost of its new common stock (rounded to two decimal places) should be alpha moose transporters co.'s addition to earnings for this year is expected to be $745,000. its target capital structure consists of 50% debt, 5% preferred, and 45% equity. determine alpha moose transporters's retained earnings breakpoint

a. $1,903,889
b. $1,655,556
c. $1,738,334
d. $1,986,667

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