One of the most important components of stock valuation is a firm's estimated growth rate. Financial satements provide the information needed to estimate the growth rate. Consider this case: Qpticns Success Tips Success Tips Robert cilliman, an equ ty research analyst ar Gllman Advisors, believes it efficient markecs. He has been following the mining industry for the past 10 years and needs to determine the constant growth rate that he should whe while valuing Pan Asia Mining Ca. Ropert has the folowing information available: - Pan Ros Mring Cois stock (Ticker PMMC) is trading at $22,50. - The companys stock is expected to pay a yeaf-end dividend of $1.08 that is expected to grow at a certain rate. - The stock's expected rate of retum is 10.80% Based on the liformation just given, what wat be Robert? forecast of PMMCs gronth rate? 10.75% 7.00% 4.95% 6.00% - Ran Asia Mining Cois stock (Tickec: PAMc) is trading at $22,50. - The company's stock is expected to poy a weat-end dividend of 51.68 that is expected to grow at a certain rate. - The stock's expected rate of return is 10.60\%. Eased on the information fust given, what will be fobert's forecast of FAMC's growth rote? 10.75% 9,004 4.9456 6.005sin Which of the following statements accurately describes the relationship between earnings and dividends when all cther factors Long-run earnings grewth occurs primarily because fams retain esmings and reinvest them in the business. Paying a higher percentage of earnings as cividends will result in a higher growth rate. Dlvidend growth and earnings growth are unrelated