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The next dividend payment by Skippy, Inc., will be $2.08 per share. The dividends are anticipated to maintain a growth rate of 6 percent, forever.

The next dividend payment by Skippy, Inc., will be $2.08 per share. The dividends are anticipated to maintain a growth rate of 6 percent, forever. The stock currently sells for $42 per share. What is the required return? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

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