Amalgamated Industries currently pays no dividends. It will begin paying dividends in $5$ years. Its first dividend will be $$2\mathrm{.}35,$ and future dividends will grow at $6\%$ per year. If investors require a $12\%$ return, what is the current stock price?

Question $2$ options:

$$25\mathrm{.}64$

$$24\mathrm{.}89$

$$22\mathrm{.}22$

$$26\mathrm{.}14$

$$24\mathrm{.}14$

You are purchasing a $20-$year, zero$-$coupon bond. The yield to maturity is $4\mathrm{.}25$ percent and the face value is $$1,000.$ What is the current market price?

Question $3$ options:

$$405\mathrm{.}36$

$$418\mathrm{.}30$

$$431\mathrm{.}24$

$$452\mathrm{.}80$

$$470\mathrm{.}05$