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Question 8: can anyone explain the upward/downward (question b and c)? (mathematically) If the stock is selling at $66 per share, what must be the

Question 8: can anyone explain the upward/downward (question b and c)? (mathematically)

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If the stock is selling at $66 per share, what must be the market's expectation of the growth rate of MBI dividends? (Do not round intermediate calculations. Round your answer to 2 decimal places. Omit the "%" sign in your response.) If dividend growth forecasts for MBI are revised downward to 11% per year, what will happen to the price of MBI stock? What (qualitatively) will happen to the company's price-earnings ratio

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