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This year,a firm paid an annual dividend of $2.50 per share. The current share price is $34. If dividends are forecast to increase at a
This year,a firm paid an annual dividend of $2.50 per share. The current share price is $34. If dividends are forecast to increase at a constant 2% annual rate indefinitely, then what is the required return on equity?
a. 7.52%
b. 2.075%
c. 9.50%
d.9.35%
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