47. Waters Corporation has a stock price of $20 a share. The stock's year-end dividend is expected to be $2 a share (D - $2.00). The stock's required rate of return is 15 percent and the stock'y dividend is expected to grow at the same constant rate forever. What is the expected price of the stock seven years from now? a $28 b. $53 C. $27 d. S23 $39 115. Philadelphia Corporation stock recently paid a dividend of $2.00 per share (De = $2), and the stock is in equilibrium. The company has a constant growth rate of 5 percent and a beta equal to 1.5. The required rate of return on the market 18 15 percent, and the risk free rate is 7 percent. Philadelphia is considering a change in policy that will increase its beta coefficient to 1.75. It market conditions remain unchanged, what new constant growth rate will cause Philadelphia's common stock price to remain unchanged? BOSS B. d 13.523