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Texas Teas dividend policy calls for the dividend to be increased each year by the same rate. Last year, the company paid a dividend equal
Texas Teas dividend policy calls for the dividend to be increased each year by the same rate. Last year, the company paid a dividend equal to $1.20 per share. This year, after the company initiates a 4-for-1 stock split, Texas Tea expects to pay a dividend equal to $0.34 per share. At what rate does Texas Tea increase its dividend each year? Round your answer to two decimal places
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