Common stock value-constant growth

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Reference no: EM131192429

Common stock value: constant growth

The common stock of Denis and Denis Research Inc. Trades for $60 per share. Investors expect the company to pay a $3.90 dividend next year, and they expect that dividend to grow at a constant rate forver. If investors require a 10% return on this stock what is the dividend growth rate they are anticipating?

Reference no: EM131192429

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