Question: Doug Co . is growing quickly. Dividends are expected to grow at a 2 0 % rate for the next two years, with the growth

Doug Co. is growing quickly. Dividends are expected to grow at a 20% rate for the next two years, with the growth rate falling off to a constant 5% thereafter. If the required return is 14% and the company jus? pald a $2.50 dividend, what is Doug's capital gains rate if Doug's current price is $37.72(approximately
14.0%
6.0%
6.6%
5.0%
8.0%
 Doug Co. is growing quickly. Dividends are expected to grow at

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