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Can someone help me with these two questions please? Problem 1 Intro A stock just paid an annual dividend of $3.37. The dividend is expected

Can someone help me with these two questions please? image text in transcribedimage text in transcribed

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Problem 1 Intro A stock just paid an annual dividend of $3.37. The dividend is expected to grow by 6% per year for the next 5 years. It will then grow by 4% per year forever. The required rate of return is 11%. 18 Attempt 1/10 for 10 pts. Part 1 What is the dividend in year 5? 4.50 Correct A B D E F G H 1 0.06 2 Initial growth Forever growth Required return 0.04 3 0.11 4 5 Year 0 1 2 3 4 5 6 Dividend 3.37 3.572 3.787 4.014 4.255 4.51 =F6*(1+$B1) Attempt 1/10 for 10 pts. Part 2 What is the terminal value (Ps)? 67.00 Correct A B 0 D E F G H Initial 1 1 0.06 2 0.04 growth Forever growth Required return 3 0.11 4 5 Year 0 1 2 3 4 5 6 Dividend 3.37 3.572 3.787 4.014 4.255 4.51 =F6*(1+$B1) 67 =G6*(1+B2)/(B3-B2) 7 P5 Part 3 IB | Attempt 4/10 for 10 pts. What is the value of the stock? 0+ decimals Submit Intro A stock just paid an annual dividend of $2.8. The dividend is expected to grow by 8% per year for the next 3 years. The growth rate of dividends will then fall steadily (linearly) from 8% after 3 years to 5% in year 6. The required rate of return is 12%. Part 1 Attempt 1/10 for 10 pts. What is the value of the stock if the dividend growth rate will stay 0.05 (5%) forever after 6 years? 1+ decimals Submit Part 2 - Attempt 1/10 for 10 pts. In 6 years, the P/E ratio is expected to be 17 and the payout ratio to be 80%. What is the value of the stock when using the P/E ratio? 0+ decimals Submit

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