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Question 10 (1.5 points) Grant Corporation's stock is selling for $40 in the market. The company's beta is 0.8, the market risk premium is 6
Question 10 (1.5 points) Grant Corporation's stock is selling for $40 in the market. The company's beta is 0.8, the market risk premium is 6 percent, and the risk-free rate is 9 percent. The previous dividend was $2 (i.e., Do = $2) and dividends are expected to grow at a constant rate. What is the growth rate for this stock? 8.80% 8.38% 5.52% 13.80% 5.00%
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