Haugen-Dass Ice Cream just paid a $2.00 dividend and expects to increase it by 5% each year. If the required return is 17%, what is its dividend yield (i.e., what is D1/P0 )?
A) 12.00%
B) 11.90%
C) 11.40%
D) 12.33%
E) 13.01%
A
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