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QUESTION 7 Assume that a share of stock, priced at $52.5 per share, just paid a dividend of S2. The dividend is expected to grow

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QUESTION 7 Assume that a share of stock, priced at $52.5 per share, just paid a dividend of S2. The dividend is expected to grow at a long-run constant rate. The required rate of return is 4% higher than the dividend growth rate (or R-g= 4%). Given this information, determine the dividend yield of the stock. A. 3.81% B. 4.0096 C. 5.00% D. 9.0096 E. None of the above

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