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The investment banking firm of Einstein & Co will use a dividend valuation model to appraise the shares of the Modern Physics Corporation Dividends (,)

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The investment banking firm of Einstein & Co will use a dividend valuation model to appraise the shares of the Modern Physics Corporation Dividends (,) at the end of the current year will be $170. The growth rate (g) is 7 percent and the discount rate (e)is 12 percent a. What should be the price of the stock to the public? (Do not round intermediate calculations and round your answer to 2 decimal places.) Price of the stock b. If there is a 5 percent total underwriting spread on the stock, how much will the issuing corporation receive? (Do not round Intermediate calculations and round your answer to 2 decimal places.) Net price to the corporation c. If the issuing corporation requires a net price of 532.50 (proceeds to the corporation) and there is a 5 percent underwriting spread, what should be the price of the stock to the public? (Do not round intermediate calculations and round your answer to 2 decimal places.) Necessary public price

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