What is the expected capital gains yield

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Reference no: EM132771917

Question - Rocket, Inc.s common stock paid a $130 annual dividend per share and had a closing price of $ 1000. Assume that the market expects this company annual dividend to grow at a constant 18 percent rate forever.

Required -

A. What is the expected dividend yield?

B. What is the expected capital gains yield?

Reference no: EM132771917

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