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The common stock of Zulu Ltd. is selling on the market for $22.33. The company will pay an annual dividend of $1.5 per share next
The common stock of Zulu Ltd. is selling on the market for $22.33. The company will pay an annual dividend of $1.5 per share next year. Dividends are projected to grow at 5.5% p.a. If you purchase the stock at the current market price, what is the expected rate of return? Choose the closest answer.
a. | 11.82% | |
b. | 12.59% | |
c. | 12.22% | |
d. | 13.17% |
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