1. A stock is expected to pay the following dividends: $1.1 in 1 year, $1.5 in 2 years, and $1.8 in 3 years, followed by growth in the dividend of 6% per year forever after that point. The stock's required return is 13%. The stock's current price (Price at year 0) should be $____________.

2.

A stock is currently priced at $32.8. Its dividend is expected to grow at a rate of 6.2% per year indefinitely. The stock's required return is 8.7%. The stock's predicted price 5 years from now, P5, should be $________.