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P & B manufacturers paid the following dividends during the last years: 2019 $1.26 2018 $1.17 2017 $1.08 2016 $1.00 P & B expects next
P & B manufacturers paid the following dividends during the last years: 2019 $1.26 2018 $1.17 2017 $1.08 2016 $1.00 P & B expects next year dividends will growth at the same rate. P & B expects to issue new common stocks at $40. The investment bank will charge a cost of 3% per share for issuing and selling the stocks. Calculate the growth rate in dividends $.09 8% $.08 9% none of the above?
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