If D₁ = $1

Multiple Choice

If D₁ = $1.50,g (which is constant) = 2.1%,and P₀ = $56,then what is the stock's expected capital gains yield for the coming year?

A) 2.50%
B) 2.39%
C) 2.08%
D) 2.10%
E) 1.66%