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A company is expected to pay a dividend of $4.50 per share next year (t=1) and the dividend is expected to grow at a constant
A company is expected to pay a dividend of $4.50 per share next year (t=1) and the dividend is expected to grow at a constant rate of 6% forever. The stock is currently selling for $50. Given this information, what is the required rate of return for this stock?
Note: Please express your result as a percentage and keep two digits after the decimal point (e.g., 12.34% or 1.23%)
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