This ones a little harder. Suppose the current share price for the firm in the previous problem

Question:

This one’s a little harder. Suppose the current share price for the firm in the previous problem is $64.75 and all the dividend information remains the same. What required return must investors be demanding on the company’s stock?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...