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Sports Shoppes just paid a dividend of $1 per share. Its dividend is expected to grow at a constant rate for a foreseeable future. If

Sports Shoppes just paid a dividend of $1 per share. Its dividend is expected to grow at a constant rate for a foreseeable future. If the current price of this stock is $12, and the investors require 15 percent rate of return for this stock, what is the constant growth rate that the investors are expecting?

7.81%

6.15%

7.43%

8.33%

5.22%

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