Friedman Steel Company will pay a dividend of $7.10 per share in the next 12 months (D₁). The required rate of return (K_e) is 18 percent and the constant growth rate is 8 percent. (Each question is independent of the others. Round the final answers to 2 decimal places.)

a. Compute P₀.

Price of common share $

b. Assume K_e, the required rate of return, goes up to 21 percent, what will be the new value of P₀?

New price of common share $

c. Assume the growth rate (g) goes up to 11 percent, what will be the new value of P₀?

New price of common share $

d. Assume D₁ is $7.90, what will be the new value of P₀?

New price of common share $