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Nathaniel has one share of stock and one bond. The total value of the two securities is $1,130.80. The bond has a YTM of 12.82

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Nathaniel has one share of stock and one bond. The total value of the two securities is $1,130.80. The bond has a YTM of 12.82 percent, a coupon rate of 8.77 percent, and a face value of $1,000.00; pays semi-annual coupons with the next one expected in 6 months, and matures in 5 years. The stock pays annual dividends that are expected to grow by 4.58 percent per year forever. The next dividend is expected to be $12.06 and paid in one year. What is the expected return for the stock? 5.02% (plus or minus 0.03 percentage points) O 8.93% (plus or minus 0.03 percentage points) 4,35% (plus or minus 0.03 percentage points) O 13.80% (plus or minus 0.03 percentage points) None of the above is within 0.03 percentage points of the correct

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