Q1 (b) You own 600 shares of Star enterprises, which currently sells for $120 per share and pays an annual dividend of $6.90 per share. What is the expected rate of return? Based on the question above, if you require a 6% return, given the current price should you buy more or sell the shares you own? Q2 (c) The common stock of IBM paid $4.50 in dividends last year. Dividends are expected to grow at 5% annually. If NCP's current market price is $30.5 per share, what is the stock's expected rate of return? If your required rate of return is 12% what is the value of the stock for you