TC CorpPaid a Dividend Today of $5 Per Share

question 129

Multiple Choice

TC Corp.paid a dividend today of $5 per share.The dividend is expected to grow at a constant rate of 6.5% per year.If TC Corp.stock is selling for $50.00 per share,the stockholders' expected rate of return is

• A) 11.50%.
• B) 13.56%.
• C) 15.49%.
• D) 16.50%.

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