Uber plans to sell shares of common stock to raise capital funds. They estimate that each share of common stock will sell for $181, but their investment bank will charge a 4% fee. The face value is $181 per share. Uber also plans to pay a dividend each year of 10% while maintaining an annual growth rate of 7% to keep their shareholders happy. What is Uber's cost of capital of this common stock?
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Home » Business » Uber plans to sell shares of common stock to raise capital funds. They estimate that each share of common stock will sell for $181, but their investment bank will charge a 4% fee. The face value is $181 per share.