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This morning you purchased a stock that just paid an annual dividend of $3.10 per share. You require a return of 9.2 percent and the
This morning you purchased a stock that just paid an annual dividend of $3.10 per share. You require a return of 9.2 percent and the dividend will increase at an annual growth rate of 4 percent. If you sell this stock in three years, what will your capital gain be?
$4.00
$5.87
$10.13
$7.74
$2.48
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