McKenna Motors is expected to pay a $1 per-share dividend at the end of the year

(D1 = $1). The stock sells for $18 per share and its required rate of return is 11.4

percent. The dividend is expected to grow at a constant rate, g, forever. What is the

growth rate, g, for this stock?

5.84%

5.64%

5.44%

5.24%

5.04%