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2 Question 5 Dalton Inc., has a 12 percent return on equity and retains 60 percent of its earnings for reinvestment purposes. It recently paid
2 Question 5 Dalton Inc., has a 12 percent return on equity and retains 60 percent of its earnings for reinvestment purposes. It recently paid a dividend of $3 and the stock is currently selling for $50. a. What is the growth rate for Dalton, Inc.? b. What is the expected return for Dalton's stock? c. If you require 18 percent return, should you invest in the firm? O E NEC 36C Sunny
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