Question 7 (1 point) Listen The price of a stock is $38. The stock pays annual...
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Question 7 (1 point) Listen The price of a stock is $38. The stock pays annual dividends. The stock has just paid a dividend and thus the next dividend will come in exactly one year. The amount of the next dividend is expected to be $1.30. The future dividends paid by the stock are expected to grow at a constant percentage rate. The appropriate discount rate for this stock is 11% per year compounded annually. What is the dividend growth rate that is being used to value the stock? Round all intermediate calculations to 6 decimal points. Your final answer should be within 0.05% of the correct answer choice. 7.58% 6.53% 3.42% 8.53% Question 8 (1 point) Question 7 (1 point) Listen The price of a stock is $38. The stock pays annual dividends. The stock has just paid a dividend and thus the next dividend will come in exactly one year. The amount of the next dividend is expected to be $1.30. The future dividends paid by the stock are expected to grow at a constant percentage rate. The appropriate discount rate for this stock is 11% per year compounded annually. What is the dividend growth rate that is being used to value the stock? Round all intermediate calculations to 6 decimal points. Your final answer should be within 0.05% of the correct answer choice. 7.58% 6.53% 3.42% 8.53% Question 8 (1 point)
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