Chapter $7$: Gordon Growth Model

Bill's Bait Shop, Inc. announced that they will pay a dividend of $$1\mathrm{.}64$ per share next year. Additionally, the firm committed to grow the dividend at a rate of $4\%$ forever. The company's stock currently sells for $$38\mathrm{.}22$ per share, what is the required return?

Use the below table if you wish to copy the data into Excel.

$\backslash$table$[[$Dividend next year $($$$),$$$1\mathrm{.}64$