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Consider four different stocks, all of which have a required return of 1 8 . 5 percent and a most recent dividend of $ 3
Consider four different stocks, all of which have a required return of percent and a most recent dividend of $ per share. Stocks and are expected to maintain constant growth rates in dividends for the foreseeable future of percent, percent, and percent per year, respectively. Stock is a growth stock that will increase its dividend by percent for the next two years and then maintain a constant percent growth rate, thereafter. Hint: is like the last stock on the Stock Problems video.
a What is the dividend yield for each of these four stocks? Do not round intermediate calculations and enter your answers as a percint rounded to decimal places, eg
b What is the expected capital gains yield for each of these four stocks? A negative answer should be indicated by a minus sign. Leave no cells blank be certain to enter wherever required. Do not round intermediate calculations and enter your answers as a percent rounded to decimal places, eg
tableaStock dividend yield,,
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