Question: M3 is expected to pay a $3.00 per-share dividend at the end of the year (D1 = $3.00). The stock sells for $60 per share

M3 is expected to pay a $3.00 per-share dividend at the end of the year (D1 = $3.00). The stock sells for $60 per share and its required rate of return is 12 percent. The dividend is expected to grow at a constant rate. What is the growth rate, g, for this stock?

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