What constant growth rate in dividends is expected for a stock valued at $32.00 if next year's dividend is forecast at $2.00 and the appropriate discount rate is 13 percent?

A) 6.25 percent
B) 5.00 percent
C) 15.38 percent
D) 6.75 percent

Ans: D) 6.75 percent

Business

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A) signaling B) transport C) both A and B D) neither A nor B

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