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Mario Corp. just paid an annual dividend of $2 per share, and its dividends are expected to grow at the constant rate of 7% per

Mario Corp. just paid an annual dividend of $2 per share, and its dividends are expected to grow at the constant rate of 7% per year. If the share price of Mario Corp. is currently $79, what is the required annual rate of return on Mario Corp.?

a.12.32%

b.9.66%

c.10.99%

d.8.33%

e.8.27%

f.9.53%

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