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The common stock of Auto Deliveries sells for $28.16 a share. The stock is expected to pay $1.35 per share next year when the annual

The common stock of Auto Deliveries sells for $28.16 a share. The stock is expected to pay $1.35 per share next year when the annual dividend is distributed. The firm has established a pattern of increasing its dividends by 2.626 percent annually and expects to continue doing so. What is the market rate of return on this stock?

		7.42 percent
		7.79 percent
		19.67 percent
		20.14 percent
		20.86 percent

PLEASE SHOW YOUR MATH

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