1. Oklahoma Electric is expected to pay a $5.40 dividend in one year. If the dividend is expected to grow at 11% per year and the required return is 17%, what is the expected price of the stock in 3 years?

1a. What if the company expected to pay a dividend of $1.85 next year, and dividends are expected to grow at 2.75% per year. The required return is 7%. What is the price of the stock in year 8?

1b. Finally, if the company has been growing at a phenomenal rate of 60 percent per year. You believe this growth rate will last for 4 more years and will then drop to 4 percent per year and remain here indefinitely. What is the current price of the stock if the required return is 12 percent? Ford just paid an annual dividend of $1.20.