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Franklin Corporation is expected to pay a dividend of $2.97 per share at the end of the year. The stock sells for $35.48 per share,

Franklin Corporation is expected to pay a dividend of $2.97 per share at the end of the year. The stock sells for $35.48 per share, and its required rate of return is 12.54%. The dividend is expected to grow at some constant rate, g, forever. What is the equilibrium expected growth rate?

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