Question: If D 1 = $1.50, g (which is constant) = 8.2%, and P 0 = $56, what is the stock's expected capital gains yield for

If D1 = $1.50, g (which is constant) = 8.2%, and P0 = $56, what is the stock's expected capital gains yield for the coming year?

Select the correct answer.

a. 7.95%
b. 8.45%
c. 8.20%
d. 8.95%
e. 8.70%

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