Storico co. just paid a dividend of $2.80 per share. the company will increase its dividend by 20 percent next year and then reduce its dividend growth rate by 5 percentage points per year until it reaches the industry average of 5 percent dividend growth, after which the company will keep a constant growth rate forever. if the stock price is $54.17, what required return must investors be demanding on the company's stock? (hint: set up the valuation formula with all the relevant cash flows, and use trial and error to find the unknown rate of return.) (do not round intermediate calculations. enter your answer as a percent rounded to 2 decimal places, e. g., 32.16.)

Select the correct answer. after the 2008 recession, the amount of reserves in the us banking system increased. because of federal reserve actions, required reserves increased from $44 billion to $60 billion. however, banks started holding more reserves than required. by january 2009, banks were holding $900 billion in excess reserves. the federal reserve started paying interest on the excess reserves that the banks held. what possible impact will these unused reserves have on the economy? a. the interest rate on loans will fall. b. people will demand more foreign goods. c. people will start borrowing more money. d. the economy will face inflation. e. foreign investments will increase.