What is the market required rate of return on this stock

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1. The common stock of GEdit, Inc. sells for $35.81 a share. The stock is expected to pay a dividend of $3.7 per share next year. The firm has established a pattern of increasing their dividends by 3.3 percent annually and expects to continue doing so. What is the market required rate of return on this stock?

Enter rate in percents, to two decimal places.

2. Shares of common stock of the Leafpad Co. offer an expected total return of 8.9 percent. The dividend is increasing at a constant 2.2 percent per year. What must be the dividend yield?

Enter rate in percents, to two decimal places.

Reference no: EM131055005

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