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Walter Utilities is a dividend-paying company and is expected to pay an annual dividend of $1.45 at the end of the year. Its dividend is

Walter Utilities is a dividend-paying company and is expected to pay an annual dividend of $1.45 at the end of the year. Its dividend is expected to grow at a constant rate of 7.00% per year. If Walters stock currently trades for $12.00 per share, what is the expected rate of return?

19.08%

7.97%

14.88%

7.11%

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