Question: Save Answer 10 points (Your results should be at least up to 4 decimal places) Question 4 a. The current price of RIO stock is

 Save Answer 10 points (Your results should be at least up

Save Answer 10 points (Your results should be at least up to 4 decimal places) Question 4 a. The current price of RIO stock is $25 per share. If RIO's current dividend is $1 per share and investors' required rate of return is 10 percent, what is the expected growth rate of dividends for RIO, based on the constant growth dividend valuation model? (2 marks) b. Define and describe non-diversifiable and diversifiable risk. (3 marks) c. What is the efficient market hypothesis? Discuss the three forms of the efficient market hypothesis. (2+3=5 marks) For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). !!! > iii

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