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Mason Motorworks is having financial difficulty, and will have to reduce the dividend on their common stock by 4% per year for the foreseeable future.
Mason Motorworks is having financial difficulty, and will have to reduce the dividend on their common stock by 4% per year for the foreseeable future. The company just paid a dividend of $3 per share, and the stock is currently trading on the market at $19.07. What is the required rate of return of the stock?
18.5% 19.1% 22.5% 11.1% 10.5%
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