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4) If investors expect a 14% return on a $50 stock that pays a dividend of $2.50, what is the implied capital gain rate? [Application
4) If investors expect a 14% return on a $50 stock that pays a dividend of $2.50, what is the implied capital gain rate? [Application of Gordon Model]
A) 9% B) 7% C) 14% D) 5%
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