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If a stock is in equilibrium and its dividends are expected to grow at a constant rate of 4% per year, which of the following
If a stock is in equilibrium and its dividends are expected to grow at a constant rate of 4% per year, which of the following statements is correct?
The stock's expected capital gains yield is 4%.
The expected return on the stock is 4%.
The stock's expected dividend yield is 4%.
The stock's required return is 4%.
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