What is the required rate of return on the company stock

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Reference no: EM131597451

Columbus Manufacturing's stock currently sells for $ 24.57 a share. The stock just paid a dividend of $2 a share (i.e.,D0=2). The dividend is expected to grow at a constant rate of 3 % a year. What is the required rate of return on the company's stock? Express your answer in percentage, and round it to two decimal places, i.e., 13.54, for example for 0.1354)

Reference no: EM131597451

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