17. 18. We are looking at a loan with monthly payments and we are told the APR of the loan is 11.8%. What would be the loan's EAR (approximately)? a) 12.1% b) 12.3% 12.5%** 12.8% 13.1% The stock price of Elsinore Co. is $53. Investors require a 12% rate of return on similar stocks. If the company plans to pay a dividend of $3.15 next year, what growth rate is expected for the company's stock price? 6.1%** a) b) 5.0% 4.6% 3.9% We need more information to determine the growth rate.