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The current price of Rocky Mountain Ltd shares is $75. Dividend one year from today is $1.05 and is expected to grow thereafter at 5%
The current price of Rocky Mountain Ltd shares is $75. Dividend one year from today is $1.05 and is expected to grow thereafter at 5% indefinitely. What is the required rate of return on Rocky Mountains shares?
a. | 7.77% | |
b. | 6.33% | |
c. | 6.00% | |
d. | 7.41% | |
e. | 6.40% |
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