You are advising a company that is working to raise $100,000,000. You believe that it is best for the company to issue stocks and bonds to raise these funds. The key market conditions during the planning period are as follows: the required interest rates on bonds with a AAA rating is 3.35%; the company's stock is currently priced to deliver an 11% return. The company stock will pay an annual dividend of $1.60 per share after one year and dividends are expected to grow by 8%. What is the share price in the planning period. If the stock price changes to reflect a required return of 9% what is the share price assuming the dividends remain as planned (use the constant dividend growth model)? 2 questions