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A stock that just paid an annual dividend of $4 is trading at $100. Next year it will pay a dividend of $4.25. What is
A stock that just paid an annual dividend of $4 is trading at $100. Next year it will pay a dividend of $4.25. What is investors' required return on the stock if they expect dividends to continue to grow at the same annual rate?
Group of answer choices
4%
4.25%
6.25%
10.5%
None of the above
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