Problem 7-25 Stock Quotes [LO 1] You've collected the following information from your favorite financial website. 52-Week Price Hi 77.40 55.81 130.93 50.24 36.50 Lo 10.43 33.42 69.50 13.95 20.89 Stock (Div) Palm Coal.36 Lake Lead Grp 1.54 SIR 2.00 DR Dime.80 Candy Galore 0.47 Div Yld % 2.6 3.8 2.2 PE Close Net Ratio Price Chg 6 13.90 -24 10 40.43 -01 10 88.97 3.07 6 15.43 -26 28 ?? 18 5.2 1.5 a. Using the dividend yield, calculate the closing price for Candy Galore on this day. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. Assume the actual closing price for Candy Galore was $31.02. Your research projects a 4 percent dividend growth rate for Candy Galore. What is the required return for the stock using the dividend discount model and the actual stock price? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) & Answer is complete but not entirely correct. a. $ Stock price Required return 1.50 X 5.58 %