A company has the following capital structure as at 31st March 2010

Rs in million

Share capital 6808

Reserves 34857

Long term loans 538220

The company's EPS. DPS, average market price and ROE for the last seven
years are given below

year EPS DPS AMP ROE

2004 21.55 5.26 143.04 20.9
2005 22.14 5.76 187.52 18.6
2006 26.4 5.76 312.32 11.7
2007 20.16 6.53 587.52 11
2008 20.4 7.68 366.72 9.5
2009 23 11.53 416.64 10.3
2010 22 7.68 355.2 8.4

You are required to calculate

a) growth rate g using alternative methods
b) cost of equity using dividend growth model
c) weighted average cost of capital using i) book value of weights and ii)
market calue of weights

Assume that the interest rate on debt is 11% abd corporate tax rate is
35%