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What is the rate of return if you purchase a stock today for $42 and sell it in five years for $55? Assume the stock

What is the rate of return if you purchase a stock today for $42 and sell it in five years for $55? Assume the stock pays an annual dividend of $2.5.

At the end of year:

0

1

2

3

4

5

Purchase Price

-42

Dividend

2.5

2.5

2.5

2.5

2.5

Selling Price

55

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