11- Miller Brothers Hardware paid an annual dividend of $1.80 per share last month. Today, the company announced that future dividends will be increasing by 3.40 percent annually. If you require a 9.5 percent rate of return, how much are you willing to pay to purchase one share of this stock today?

12- The common stock of Auto Deliveries sells for $26.71 a share. The stock is expected to pay $2.10 per share next month when the annual dividend is distributed. Auto Deliveries has established a pattern of increasing its dividends by 5.0 percent annually and expects to continue doing so. What is the market rate of return on this stock?