a.

b.

Suppose the dividends for the Seger Corporation over the past six years were $1.36, $1.44 $1.53, $161, $1.71, and $176, respectively. Assume that the historical average growth rate will remain the same for 2020. Compute the expected share price at the end of 2020 using the perpetual growth method Assume the market risk premium is 81 percent, Treasury bills yield 5.0 percent, and the projected beta of the firm is 102 (Do not round Intermediate calculations. Round your answer to 2 decimal places.) Share price Given the information below for Seger Corporation, compute the expected share price at the end of 2020 using price ratlo analysis. Assume that the historical (anthmetic) average growth rates will remain the same for 2020. (Do not round Intermediate calculations. Round your answers to 2 decimal places.) Year Price EPS 2014 2015 2016 2017 2018 2019 3180.50 5106.40 $105.18 5182.60 $124.10 5 139.50 2.65 4.16 4.86 7.50 8.50 9.81 10.62 12.10 13.ja 57.50 62.50 62.ee 65.50 76.78 84.70 3.36 CFPS 7.77 SPS Share Price Using PE ratio Using PICF ratio Using P/S ratio