Question: (Common stock valuation) Dalton Inc. has a return on equity of 12.9 percent and retains 52 percent of its earnings for reinvestment purposes. It recently

(Common stock valuation) Dalton Inc. has a return on equity of 12.9 percent and retains 52 percent of its earnings for reinvestment purposes. It recently paid a dividend of $2.75 and the stock is currently selling for $41. a. What is the growth rate for Dalton Inc.? b. What is the expected return for Dalton's stock? c. If you require a 14 percent return, should you invest in the firm? . a. What is the growth rate for Dalton Inc.? * (Round to two decimal places.) HELLU

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