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You are analyzing a stock with the following characteristics. Dividend today $2.50 Super-normal growth rate 15% Super-normal growth rate period 5 years Normal Growth rate

You are analyzing a stock with the following characteristics.

Dividend today $2.50

Super-normal growth rate 15%

Super-normal growth rate period 5 years

Normal Growth rate 4% Risk-free rate 4%

Expected return on the market 13%

Beta 1.20

What is the required rate of return (k)?

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