14A) Consider Stocks X and Y. The two stocks have a correlation (of returns) of 38%. The expected return of Stocks X and Y (i.e. the fair discount rates), are 8.9% and 13.8% respectively. The annualized variance of Stock X is 5.7%. The annualized volatility of Stock Y is 36%. If you invest $27 into Stock X, and $47 into Stock Y, then what is the annualized volatility of the resulting two asset portfolio? Enter your answer as a percentage, not as a decimal, using at least 4 digits of precision.

B) Big Reds common stock pays quarterly dividends. The most recent dividend, paid earlier today, was $2.06 per share. Dividends are expected to grow at a rate of 1.08% per quarter (not per year), forever. Based upon its risk, the appropriate discount rate is 12.73% per year (expressed as an effective annual rate, EAR).

Determine the current fair price per share of the stock.

Provide an answer with at least 4 digits of precision.