Question: ABC Inc. has 1 0 0 , 0 0 0 shares outstanding with a total book value of $ 1 , 4 8 7 ,

ABC Inc. has 100,000 shares outstanding with a total book value of $1,487,000 and which currently sell for $10.90 per share. It had net income of $117,600 this past year, of which $50,000 was paid in dividends. Based on the above, what rate of return do investors expect on the stock? (WITH FORMULAS PLS)
a.3.69%
b.7.07%
c.10.93%
d.9.34%
e.4.80%

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