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Washington Industries stock currently sells for $50 a share. It just paid a dividend of $2.60 a share (that is, D 0 = $2.60). The
Washington Industries stock currently sells for $50 a share. It just paid a dividend of $2.60 a share (that is, D0 = $2.60). The dividend is expected to grow at a constant rate of 6.1 percent a year. What is the required rate of return?
a. | 7.83% | |
b. | 5.52% | |
c. | 11.62% | |
d. | 11.30% | |
e. | 6.10% |
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