The dividend is expected to grow at a constant rate forever


A company is expected to pay a $1.00 per-share dividend at the end of the year (D1 = $1.00). The stock sells for $20 per share and shareholders? required rate of return is 11%. The dividend is expected to grow at a constant rate forever. What is the growth rate for this stock?

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Finance Basics: The dividend is expected to grow at a constant rate forever
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