Waterworks has a dividend yield of 8 If its dividend is expected to grow at a constant rate of 5 , what must be expected rate of return on the company 's stock ...

Waterworks has a dividend yield of 8%. If its dividend is expected to grow at a constant

Question:

Waterworks has a yield of 8%. If its is expected to grow at a constant rate of 5%, what must be expected rate of return on the company's stock?
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...