Fey Fashions expects the following dividend pattern over the next seven years: Then the company will have

Question:

Fey Fashions expects the following dividend pattern over the next seven years:

Then the company will have a constant dividend of $2.00 forever. What is the price of this stock today if an investor wants to earn
a. 15%?
b.20%?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...