Steady As She Goes Inc. will pay a year-end dividend of $3.70 per share. Investors expect the dividend to grow at a rate of 5% indefinitely.

a. If the stock currently sells for $37.00 per share, what is the expected rate of return on the stock? (Do not round intermediate calculations. Enter your answer as a whole percent.)

b. If the expected rate of return on the stock is 17.50%, what is the stock price? (Do not round intermediate calculations.)