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    Practical Financial Management Study Set 1
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    Exam 8: The Valuation and Characteristics of Stock
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    If One Expects the Annual Dividend to Be $0
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If One Expects the Annual Dividend to Be $0

Question 86

Question 86

Multiple Choice

If one expects the annual dividend to be $0.95 five years from today when the current dividend is $0.62, the annual dividend growth rate must be:


A) 9%.
B) 11%.
C) 7%.
D) 13%.

Correct Answer:

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