"In the Gordon model, the dividend is expected to grow forever at a constant rate, and this rate is equal to the expected capital gain yield if the stock is priced in equilibrium." Given the following data, what is the stock's expected growth rate according to the Gordon model? True/False

Dividend per share just paid: $2 Current market price: $40 Required rate of return: .10 Assume the stock is priced in equilibrium. Select one: a. 2.01% b. 6.94% c. 3.32% d. 4.76% e. 5.65%

Based on the following data for AAA stock, what is the implied market risk premium? Dividend just paid, D0 =$4 10-year Treasury bond yield=6% Beta for the stock=1.5 Current market price, P0=$125.71 Constant dividend growth rate=10% Assume that the stock is priced in equilibrium. Select one: a. 5.96% b. 5.00% c. 4.12% d. 6.33%