McKenna Motors is expected to pay a $2 per-share dividend at the end of the...
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McKenna Motors is expected to pay a $2 per-share dividend at the end of the year (D1=$2 ). The stock sells for $28 per share and its required rate of return is 15 percent. The dividend is expected to grow at a constant rate, g, forever. What is the growth rate, g, for this stock? 7.86% 8.06% 8.26% 8.46% 8.66%
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