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You are considering the purchase of a stock with the following characteristics: the current price is $53 and you expect three annual dividends of $2.20,

You are considering the purchase of a stock with the following characteristics: the current price is $53 and you expect three annual dividends of $2.20, $2.60 and $3.00, and at the end of three years you anticipate the stock will sell for $71. What is the AYTM of the stock?

9.8%

10.5%

14.6%

12.9%

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