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A stock's price currently is $ 1 0 0 . An analyst forecasts the following for the stock: The normalized trailing price earnings ( P

A stock's price currently is $100. An analyst forecasts the following for the stock:
The normalized trailing price earnings (P/E) ratio will be 12x.
The stock is expected to pay a $5 dividend this coming year on projected earnings of $10 per share.
If the analyst were to buy and hold the stock for the year, the projected rate of return based on these forecasts is closest to:
A)15%.
(B)20%.
C)25%.
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