Elsinore Corporation just paid a $2.00 dividend. They are expected to pay a dividend of $2.50 in year 1 and $3.00 in year 2. Afterwards, the company pledges to maintain a constant 4% growth rate in dividends forever. Currently the stock price is $36. If the required return on the stock is 12%, what is the capital gains rate right now (approximately)? a) 6.44% b) 5.06%** 4.00% 6.94% 5.56%