Question 50 (2 points) A stock is expected to pay a year-end dividend of $2.00, i.e, D, - $2.00. The dividend is expected to decline at a rate of 5% a year forever (g--5%). If the company is in equilibrium and its expected and r 15%, which of the following statements is CORRECT? equired rate of return is The company's current stock price is $20 The company's dividend yield 5 years from now is expected to be 10%. The constant growth model cannot be used because the growth rate is negative. The company's expected capital gains yield is 5%. The company's expected stock price at the beginning of next year is $9.50