Plowback Inc. common stock shares are currently priced at $56, and the firm has a policy of retaining 80% of earnings per share. The firm's latest annual earnings per share was $5.65. Therefore the current dividend yield on the stock is:

A-10.09%

B-8.07%

C-2.02%

D-1.62%

If the market requires an 18% rate of return on Plowback common stock, then given the above information, the expected growth rate of dividends is:

A-15.94%

B-9.93%

C-7.91%

D-0.00%