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    Corporate Finance Study Set 5
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    Exam 7: Valuing Stocks
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    What Is the Return on Equity for a Firm That
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What Is the Return on Equity for a Firm That

Question 38

Question 38

Multiple Choice

What is the return on equity for a firm that has a constant dividend growth rate of 7% and a dividend payout ratio of 60%?


A) 2.80%
B) 4.20%
C) 11.67%
D) 17.50%

Correct Answer:

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