the 2 questions

A stock is expected to pay its first $3.6 dividend in 5 years from now (t=5). The dividend is expected to be paid annually forever and grow by -2% pa (note the negative sign), The discount rate is 7% pa. Estimate what the stock price will be in 4.75 years from now. The stock price at time 4.75 is expected to be Select one: @ a. $55.1611 b. $42.0821 $40.2025 d. $39.3291 e $38.6105 You currently have $200 in the bank which pays a 3% pa interest rate. Apples currently cost $1 each at the shop and the inflation rate is 8% pa which is the expected growth rate in the apple price. All rates are given as effective annual rates. Which of the below statements is NOT correct? Select one: in 1 year nominal apple price will be $0.953704 b. The real growth rate in the apple price is expected to be 0% pa. c.in 1 year your money in the bank will be worth $206 in nominal terms d. In 1 year your money in the bank will be worth $190.740741 in real terms. e. The real bank interest rate is -4.62963% pa