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Estimating Expected rate of return: R=DIV1/P0+ g R= Dividend yield + growth rate Ex: If the expected 1' year dividend is $3, and the growth

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Estimating Expected rate of return: R=DIV1/P0+ g R= Dividend yield + growth rate Ex: If the expected 1"' year dividend is $3, and the growth rate is 8%, with an initial price stock of $75, what is the expected rate of return

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