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Super Computer Company's Stock Is Selling for $100 Per Share

Question 42

Multiple Choice

Super Computer Company's stock is selling for $100 per share today.It is expected that-at the end of one year-it will pay a dividend of $6 per share and then be sold for $114 per share.Calculate the expected rate of return for the shareholders.


A) 20%
B) 15%
C) 10%
D) 25%

Correct Answer:

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