A company most recently paid a dividend of $2 per share and plans to increase dividends by 5% per year, indefinitely. The required return is 15%. Which of the following statements is true? The dividend yield for the stock is 10% The capital gains yield for the stock is 10% The dividend yield for the stock is 5%. The stock will not change in value over time. Incorrect Question 3 0/1 pts A company most recently paid a dividend of $3 per share and plans to increase dividends by 2.5% per year, indefinitely. The required return on the stock is 8%. Which of the following correctly calculates stock price 7 years from now? P7-3(1.02547)/(.08-025) P7-PO(1.05547) P7=PO(1.0847) P7-PO(1.02547)