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The common stock of Andys Sporting Goods sells for $30.65 a share. The company recently paid their annual dividend of $1.85 per share and expects

The common stock of Andys Sporting Goods sells for $30.65 a share. The company recently paid their annual dividend of $1.85 per share and expects to increase this dividend by 2 percent annually. What is the rate of return on this stock?

8.04 percent

8.16 percent

8.28 percent

8.42 percent

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