1. ABC. Inc is expected to pay a dividend of $36.21 per share. The dividends...
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1. ABC. Inc is expected to pay a dividend of $36.21 per share. The dividends are expected to increase by 8% each year. The required rate of return on the stock is 24%. What is the stock's expected price 16 years from today (i.e., what is P16)?
2. ABC. Inc just paid a dividend of $25.81 per share. The dividends are expected to increase by 3% each year. The required rate of return on the stock is 20%. What is the stock's expected price 8 years from today (i.e., what is P8)?
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