What is the expected return on the hp stock, Financial Management

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What is the expected return on the hp stock

You are considering the purchase of stock in Hewlett-Packard (HP). You expect to own the stock for the next three years. The current market price of the stock is $42 (P0) and you expect to sell it for $65 in three years' time (P3). You also expect the stock to pay an annual dividend (D) of $2.50 on the last day of each of the next three years. What is the expected return on the HP stock investment?

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