Question: If D1 = $2.00, g (which is constant) = 6%, and P0 = $40, what is the stock's expected capital gains yield? 5.2% 5.4% 6.0%

If D1 = $2.00, g (which is constant) = 6%, and P0 = $40, what is the stock's expected capital gains yield?

5.2%

5.4%

6.0%

5.8%

5.6%

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