Chapter 7 Question 10 Growth Rates The stock price of Alps Co. is $53.80. Investors require a return of 12 percent on similar stocks. If the company plans to pay a dividend of $3.55 next year, what growth rate is expected for the company's stock price? Input area: \begin{tabular}{|lcc|} \hline Stock price & $ & 53.80 \\ Required return & & 12% \\ Dividend paid & $ & 3.55 \\ \hline \end{tabular} Output area