Question
Colletti Industries stock price is currently $34.00 per share. Colletti is expected to pay a dividend of $1.81 at the end of this year that
Colletti Industries stock price is currently $34.00 per share. Colletti is expected to pay a dividend of $1.81 at the end of this year that will grow at a constant rate of 3.6%. If the market is in equilibrium, what is the stocks required return?
| a. | 6.97% | |
| b. | 9.20% | |
| c. | 8.92% | |
| d. | 7.41% | |
| e. | 8.58% |
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Personal Finance
Authors: Jeff Madura, Hardeep Singh Gill
3rd Canadian Edition
978-0133035575, 133035573, 978-0133970524, 133970523, 978-0134040042
