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A company is growing at a constant rate. The current price of the company's stock is $30/share, and the company just paid out its annual
A company is growing at a constant rate. The current price of the company's stock is $30/share, and the company just paid out its annual dividend of $2/share. Suppose the required rate of return for the company's stock is 12%. What is the constant growth rate for the company?
12% |
5% |
5.33% |
6.67% |
10% |
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