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Patience, Inc., just paid a div. end of $2.60 per share on its stock. The dividends are expected to grow at a constant rate of
Patience, Inc., just paid a div. end of $2.60 per share on its stock. The dividends are expected to grow at a constant rate of 4.50 percent per year, indefinitely. Assume investors require an 10.75 percent return on this stock. Requirement 1: What is the current price? (Select rounded answers as directed, but do not use the rounded numbers in intermediate calculations.) $43.47 $41.60 $17.05 $47.82 $17.82 Requirement 2: (a)What will the price be in 5 years? (Select rounded answers as directed, but do not use the rounded numbers in intermediate calculations.) $51.84 $22.36 $20.33 $54.17 $59.59
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