What is the required rate of return for new com inc

Reference no: EM132788131

Problem 1: New COM Inc. dividends have been growing at 6%, and this growth rate is expected to continue indefinitely. If the company just paid a dividend of $2.00 and its stock is selling at $30.00 per share, what is the required rate of return?

A. 13.1%

B. 12.7%

C. 17.1%

D. 14.8%

E. 15.3%

F. 6.7%

Reference no: EM132788131

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