1.) The next dividend payment by Savitz, Inc., will be $5.05 per share. The dividends are anticipated to maintain a growth rate of 3 percent forever. If the stock currently sells for $52 per share, what is the required return?

A. 12.71%

B. 12.08%

C. 12.46%

D. 3.00%

E. 9.71%

2.) Hudson Corporation will pay a dividend of $4.50 per share next year. The company pledges to increase its dividend by 2.80 percent per year indefinitely. If you require a return of 5.20 percent on your investment, how much will you pay for the company's stock today?

A. $187.50

B. $182.39

C. $180.00

D. $195.00

E. $54.72

3.) Suppose you know a company's stock currently sells for $50 per share and the required return on the stock is 15 percent. You also know that the total return on the stock is evenly divided between a capital gains yield and a dividend yield. If it's the company's policy to always maintain a constant growth rate in its dividends, what is the current dividend per share?

A. $3.75

B. $3.83

C. $3.31

D. $3.49

E. $6.98