Retained earnings versus new common stock Using the data for a firm shown in the following table, calculate the cost of retained earnings and the cost of new common stock using the constant-growth...

Extracted text: Retained earnings versus new common stock Using the data for a firm shown in the following table, calculate the cost of retained earnings and the cost of new common stock using the constant-growth valuation model. (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Projected dividend per price per share growth rate share next year Underpricing Flotation cost per share $2.00 Current market Dividend per share $1.75 $46.00 9% $2.30 a. The cost of retained earnings is %. (Round to two decimal places.) b. The cost of new common stock is %. (Round to two decimal places.)