Question: Consider a stock that that is expected to pay a dividend of $1.52 a year from now. The dividend is expected to grow at a

Consider a stock that that is expected to pay a dividend of $1.52 a year from now. The dividend is expected to grow at a constant rate of 2.7% per year. The current price of the stock is $51.58. What rate of return are investors expecting? Enter your answer as a percentage. Do not include the percentage sign in your answer.

Enter your response below rounded to 2 DECIMAL PLACES.

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