Here are data on two stocks, both of which have discount rates of 10%:

	Stock A			Stock B
Return on equity		10	%		8	%
Earnings per share	$	2.40		$	1.60
Dividends per share	$	1.20		$	1.20

a. What are the dividend payout ratios for each firm? (Enter your answers as a percent rounded to 2 decimal places.)

b. What are the expected dividend growth rates for each stock? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)

c. What is the proper stock price for each firm? (Do not round intermediate calculations. Round your answers to 2 decimal places.)