1a. The market price of a share of preferred stock is $22.90 and the dividend is $2.92. What discount rate did the market use to value the stock?

Answer format: Percentage Round to: 2 decimal places (Example: 9.24%, % sign required. Will accept decimal format rounded to 4 decimal places (ex: 0.0924))

1b. The market price of a stock is $42.40 and it is expected to pay a $2.52 dividend next year. The dividend is expected to grow at 4.48% forever. What is the required rate of return for the stock?

Answer format: Percentage Round to: 0 decimal places (Example: 9%, % sign required. Will accept decimal format rounded to 2 decimal places (ex: 0.09))