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Pegasus lours plans to pay a dividend of $1.20 next year, and they anticipate that...

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Finance

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Pegasus lours plans to pay a dividend of $1.20 next year, and they anticipate that dividend payments will grow by 4% every year for the foreseeable future. The market price of the stock is $16. The company's expected rate of return or cost of equity is closest to: A. 11.5%. OB. 15.38% O C. 12.82%

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