The Company expects to announce their annual dividend of $ 2.21 next year and promises to increase
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Question:
The Company expects to announce their annual dividend of $ 2.21 next year and promises to increase its dividends at 4.8 % perpetually. even though you believe the required return on the stock is 14.61 % due to market conditions, you must purchase the stock for $ 9 above the intrinsic value today. At this higher purchase price, what is your expected rate of return (enter the number as a percentage)?
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