6. Daryl has one share of stock and one bond. The total value of the two securities is $1,051.00. The bond has a YTM of 12.61 percent, a coupon rate of 8.30 percent, and a face value of $1,000.00; pays semi-annual coupons

with the next one expected in 6 months, and matures in 3 years. The stock pays annual dividends that are expected to grow by 4.52 percent per year forever. The next dividend is expected to be $12.34 and paid in one

year. What is the expected return for the stock?

O 12 43% (plus or minus 0.03 percentage points)

O 28.72% (plus or minus 0.03 percentage points)

O 7.91% (plus or minus 0.03 percentage points)

O 5.31% (plus or minus 0.03 percentage points)

O None of the above is within 0.03 percentage points of the correct answer