Toronto Skates Inc.'s common shares are selling at $22.22 per share.Investors expect to receive a dividend of $1.80.The 90-day government T-bill yield is 4.3 %.What is the dividend growth rate if the risk premium on comparable companies is 6.2 %?
A) 2.22%
B) 2.40%
C) 3.12%
D) 3.54%
Correct Answer:
Verified
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