A stock is selling for $20 and the last dividend annual payment was $0.75. What is the correct formula for cell B4 to calculate the required rate of return if dividends are expected to grow at 4% per year?
a) =B2*(1-B3)/B1-B3
b) =B1*(B2-B3)/(1+B3)
c) =B2*(1+B3)/B1+B3
d) =B1/(B2-B3)*(1+B3)
e) =B2*(1+B3)/(B1+B3)
c) =B2*(1+B3)/B1+B3
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