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The projected growth at a rate of dividends for this stock

Finance: Value of Common Stock, Expected Rate of return on Common Stock

Question

Green Company's common stock is currently selling for $59.85 per share. Last year, the company paid dividends of $1.54 per share. The projected growth at a rate of dividends for this stock is 2.60 percent. Which rate of return does the investor expect to receive on this stock if it is purchased today?

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Finance Basics: The projected growth at a rate of dividends for this stock

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