The expected return on Jay Corporation$$s stock is $14\%.$ The stock$$s dividend is expected to grow at a constant rate of $8\%,$ and it currently sells for $$50$ a share. Which of the following statements is correct?

Question $8$Answer

a$.$

The stock price is expected to be $$54$ a share one year from now.

b$.$

The stock$$s dividend yield is $8\%.$

c$.$

The stock price is expected to be $$57$ a share one year from now.

d$.$

The stock$$s dividend yield is $7\%.$