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Martha's Vineyard just paid a $3.50 annual dividend on its common stock. This dividend increases at a constant rate of 4.60% per year. The stock
Martha's Vineyard just paid a $3.50 annual dividend on its common stock. This dividend increases at a constant rate of 4.60% per year. The stock is currently selling for $62.10 a share. What is the required rate of return? Assume constant dividend growth model. A. 3.5% B. 4.6% C. 9.5% D. 10.5% E. 12.5%
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