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You have the following information on the following stock. P0 = $10.72. g =3.5% r = 12% EPS0= $2.2 What is the dividend payout ratio?

You have the following information on the following stock.

P0 = $10.72.

g =3.5%

r = 12%

EPS0= $2.2

What is the dividend payout ratio?

a. 0.3

b. 0.4

c. 0.5

d. 0.6

e. 0.7

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