1. A firm is expected to pay a dividend of $9.69 next year and $10.17 the following year and financial analysts believe the stock will be at their target price of $114.25 in two years -Compute the value of this stock assuming a required return of 15.50%.

		$101.66
		$134.11
		$117.41
		$88.01
		$116.11
		$90.16
		$154.90

2. If a preferred stock from the FIN340 Company pays $8.31 in annual dividends and the required return on the preferred stock is 7.4%, what is the current value of the stock?

		$7.74
		$8.92
		$120.61
		$104.56
		$8.33
		Not Possible to Calculate with the Data Provided
		$112.30