BP Industries Stock Is Valued at $11

question 109

Multiple Choice

BP Industries stock is valued at $11.50 a share. The firm pays annual dividends at an increasing rate of 3.0 percent annually. Next year's dividend will be $1.15 per share. What is the required return on this stock?

• A)10.00%
• B)11.50%
• C)12.60%
• D)13.00%
• E)14.80%

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