What rate of return does the investor expect to receive

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Finance: Value of Common Stock, Expected Rate of return on Common Stock

Question

Digging Deep Company's common stock is currently selling for $142.00 per share. Next year, the company dividend is expected to be $8.78 per share. The projected growth at a rate of dividends for this stock is 5.66 percent per year. What rate of return does the investor expect to receive on this stock if he or she purchases the stock today?

Reference no: EM131393869

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