1. Company ABC paid a dividend of $1.40 recently. Dividend growth is expected to be 8%. What should be the price of the stock if the required rate of return is 12%?

		$30.00
		$32.60
		$35.00
		$37.80

1. Company XYZ expected to pay a dividend of $3.00 next year. Dividend growth is expected to be 6%. What should be the price of the stock today and five years from today? The required rate of return is 10%.

		$75 and $106.39
		$75.00 and $100.37
		$79.50 and $106.39
		$79.50 and $112.77

1. A company paid a dividend of $2.50 and expects to increase dividends by 15% for the next three years before leveling off at 5%.What should be the price of the stock if the required rate of return is 16%?

		$34.42
		$30.67
		36.67
		$48.86