Harvey County Choppers, Inc. is experiencing rapid growth. The company expects dividends to grow at 25 percent per year for the next 4 years before leveling off to 7 percent into perpetuity. The required return on the stock is 12 percent.

a. What is the current stock price if the annual dividend share that was just paid was $1.05?

b. What will the stock price be in 6 years?