One common method of estimating the growth rate of dividends is to

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Multiplying the return on equity by the firm's retention rate estimates the growth rate of earnings, which could be used to estimate the growth rate of dividends. The retention rate represents the portion of earnings that the company reinvests in the business instead of distributing as dividends, and the return on equity measures the profitability of the company's investment in assets. Therefore, this method captures the relationship between the company's earnings and dividend payments. The other options do not provide a direct link between the company's financial performance and the growth rate of dividends.

One Common Method of Estimating the Growth Rate of Dividends