If the dividends to be paid in one year on a common stock issue are $4.00 per

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If the dividends to be paid in one year on a common stock issue are $4.00 per share, the cost of equity is 15%, and the current price of the common stock is $40, what is the assumed growth rate?

a. 5%

b. 25%

c. 7%

d. 8%

Related Book For answer-question

Principles of Finance

ISBN: 978-1285429649

6th edition

Authors: Scott Besley, Eugene F. Brigham

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Posted Date: Aug 08, 2019 02:10 AM

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If the dividends to be paid in one year on a common stock issue are $4.00 per

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