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An investor's required rate of return is 10%. Given a current market price of $22 per share of common stock and an expected dividend for

An investor's required rate of return is 10%. Given a current market price of $22 per share of common stock and an expected dividend for the next year of $1.32 per share, what percentage price appreciation must occur over the next year for this investor to be interested in buying this stock?

a. 2%

b. 3%

c. 4%

d. 5%

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