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Assume a company just paid a dividend of $1.25 per share.Historically, the company has increased its dividends by 2 percent annually with great consistency. No
Assume a company just paid a dividend of $1.25 per share.Historically, the company has increased its dividends by 2 percent annually with great consistency. No analyst estimates regarding the next dividend are available. The firm's current stock price is $15 per share. Estimate of the required rate of return for this stock.
Select one: a. 8.50% b. 2.17% c. 8.63% d. 10.5%
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