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Alpha Foods, Inc. plans to pay a $2.42 dividend per share at the end of this year. This represents a 6% growth in dividends, which

Alpha Foods, Inc. plans to pay a $2.42 dividend per share at the end of this year. This represents a 6% growth in dividends, which is expected to continue in the future. The firm is issuing common stock to finance a plant expansion. The stock is being sold to the public at $25 a share. Compute Alpha Foods' required return on its common stock.

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