ABC Corp. just paid a $3.25 dividend to its common shareholders. You plan to purchase the stock today because you feel that the growth rate will be 8 percent for the next two years, and then fall to a constant level of 3% thereafter. How much would you pay for the stock today if your required rate of return is 10%? Round intermediate steps to four decimals.

		48.05
		61.92
		52.42
		49.12

Main Street Antiques is planning on paying an annual dividend of $2.20 per share next year. The company is slowly downsizing and is decreasing its dividend by 3 percent annually. What is the current value of this stock at a discount rate of 8 percent?

		19.4
		19.78
		19.12
		20.00

PQU preferred stock sells of $65/share. Dividends are equal to 5% of par. Find the required rate of return.

		.0816
		.0325
		.0769
		.1025