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You are conducting some basic analysis of stock pricing. You find a stock that has a dividend growing at about 2.9% each year. The most
You are conducting some basic analysis of stock pricing. You find a stock that has a dividend growing at about 2.9% each year. The most recent dividend was $1.90 and the current price is $41.30. What is a good estimate of the required return for investors who own this stock? Enter your response as a regular percentage rate, rounded to the nearest one decimal. Do not enter dollar signs, percent signs, or commas. For example, if you calculated 0.0856, you would enter for your answer, 8.6. Or if you calculated 9.1912%, you would enter 9.2.
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