14. An issue of common stock's most recent dividend is $3.45. Its growth rate is 4.0%. What is its price if the market's rate of return is 8.7%? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Multiple Choice

• $83.40

• $78.40

• $76.34

• $36.70

15. A firm's preferred stock pays an annual dividend of $5, and the stock sells for $77. Flotation costs for new issuances of preferred stock are 4% of the stock value. What is the after-tax cost of preferred stock if the firm's tax rate is 36%? (Round your answer to 2 decimal places.)

Multiple Choice

• 8.91

• 8.21

• 6.76

• 5.41