4.Candy and Cookies pays a constant annual dividend of $1.30 per share. How much are you willing to pay for one share if you require a 12 percent rate of return?

A.$9.23

B.$10.83

C.$12.06

D.$13.50

E.$15.60

5.Mr. Money, Inc., announced yesterday that their next annual dividend will be $1.40 and that future dividends will be increasing by 3 percent annually. How much are you willing to pay for one share of this stock if your required return is 18 percent?

A.$7.78

B.$8.01

C.$8.87

D.$9.33

E.$9.61

6.Marble Books, Inc., is expected to pay an annual dividend of $1.80 per share next year. The required return is 16 percent and the growth rate is 4 percent. What is the expected value of this stock five years from now?

A.$15.00

B.$15.60

C.$16.80

D.$18.25

E.$18.98