The Zinks stock has a required return of 13%, and the stock sells for $54.107 per...

The Zinks stock has a required return of 13%, and the stock sells for $54.107 per share. The firm just paid a dividend of $2.00, and the dividend is expected to grow by 30% per year for the next 3 years, thereafter, the dividend is expected to grow at some constant rate per year forever. What is the stock's expected constant growth rate after the year?

Use your answer in the question to compute
1. The Dividend Yield
2. The capital Gain Yield

Expert Solution

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jeff jeffy answered 1 year ago

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