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6. If a stock pays a dividend of $6 in the first year (D), the current price is $125, and the growth rate is 8%,

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6. If a stock pays a dividend of $6 in the first year (D), the current price is $125, and the growth rate is 8%, what is the required rate of return (r.)? a. 8.6% b. 12.8% c. 15.7% d. 20.0% I 7. What is the approximate yield to maturity for a $1000 par value bond selling for $1085 that matures in 9 years and pays 9.5 percent coupon interest annually? a. 9.85 percent b. 9.21 percent c. 9.00 percent d. 8.78 percent e. 8.13 percent

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