A stock with a constant dividend growth rate of 5% is expected to make a...
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Finance
A stock with a constant dividend growth rate of 5% is expected to make a $2 dividend in one year. If you require a 12% return on your investment, which of the following statements is INCORRECT?
A. The current stock price is $28.57.
B. The dividend yield is 7%.
C. The capital gains yield is 12%.
D. The stock price will grow at an annual 5%.
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