Caribe's common stock sells for $41, and dividends paid last year were $1.18. The dividends and earnings per share are predicted to have a 5% growth rate. What is the cost of common equity for Caribe?

When writing a backgrounder, it is important to include ________

A) comparative information about a competitor's product B) details about a product's history and its current relevance C) persuasive concepts regarding the use of a firm's product D) personal opinions about an organization and its products E) extensive statistics and data about an organization's products

The What Went Wrong? feature in Chapter 10 focuses on DrawQuest. DrawQuest captured the attention of venture capitalists, gained 25,000 users, and still failed. According to the feature, the main reason DrawQuest failed is that the founders ________

A) couldn't work together effectively B) were ineffective in managing their investment capital C) never figured out the business side of the venture D) fell out of favor with their investors E) were ineffective in raising follow-on rounds of funding