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E9-3 Belle Fashions supplies garments to high street retailers. They have been paying divi- dends steadily for 10 years. During that time, dividends have grown

E9-3 Belle Fashions supplies garments to high street retailers. They have been paying divi- dends steadily for 10 years. During that time, dividends have grown at a compound annual rate of 5%. If Belle Fashions's current stock price is 5.80 and the firm plans to pay a dividend of 0.70 next year, what is the required return on Belle's common stock

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