The Wayne Corporation expects to have a changing dividend policy over the next few years starting with the dividend that they just paid of $1.54. In the following year their dividend will grow by 19.4% and in the year after by 14.8%. Following that they expect their dividends to continue growing at a constant rate of 5.3% forever. If the required rate of return for Wayne is 17.9% per year, what is the price today of Wayne shares? Answer to the nearest penny. Answer: Use the Dividend Growth Model to compute the expected price of a stock today. Each share just paid a dividend of $7.15. Investors' annual required rate of return is 14.4%, and the expected growth rate of the dividend is 2.7% per annum. Answer to the nearest penny. Answer: