Based on the constant-growth dividend discount model

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Jand, Inc., currently pays a dividend of $1.44, which is expected to grow indefinitely at 5%. If the current value of Jand’s shares based on the constant-growth dividend discount model is $37.66, what is the required rate of return? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Reference no: EM131354524

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