The current years dividend (D 0 ) for a share of common stock is $2 and the current price (P 0 ) of the stock is $30 Dividends are expected to grow at 5 forever What is the rate of return for this stock

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The current years dividend (D 0 ) for a share of common stock is $2 and the current price (P 0 ) of the stock

The current years dividend (D₀) for a share of common stock is $2 and the current price (P₀) of the stock is $30. Dividends are expected to grow at 5% forever. What is the rate of return for this stock?

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