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Fey Fashions expects the following dividend pattern over the next seven years: Year 1 $1.50 Year 2 $1.65 Year 3 $1.82 Year 4 $2.00 Year

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Fey Fashions expects the following dividend pattern over the next seven years: Year 1 $1.50 Year 2 $1.65 Year 3 $1.82 Year 4 $2.00 Year 5 $2.20 Year 6 $2.42 Year 7 $2.66 The company will then have a constant dividend of $3.00 forever. What is the stock's price today if an investor wants to earn a. 16%? b. 21%? a. What is the stock's price today if an investor wants to earn 16%? (Round to the nearest cent.) b. What is the stock's price today if an investor wants to earn 21%? (Round to the nearest cent.)

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