Excel Assignment 3

Using Excel provide solutions for the following problemes:

1- Calculate the rate of return - The next dividend payment by Boston Company will be $1.45 per share. The dividends are anticipated to maintain a growth rate of 5 percent forever. If the stock sells currenlt for $25 per share, what is the required return?

2- Calculate the payment for the companys stock. -ABC will pay $1.25 dividned per share next year. The company peldges to increase its divdiends by 3% per year indifiently. If you required a return of 10% on your investmnte. How much will you pay for the companys stiock today?