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11. Firm E is expected to pay the following dividends over the next four years:...

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11. Firm E is expected to pay the following dividends over the next four years: $10, $8. $7, and $5. Afterward, the company pledges to maintain a constant 7 percent growth rate in dividends forever. If the required return on the stock is 15 percent, what is the current share price? A $45.15 B. $48.58 C. $56.25 D. $60.44 E. $60.84 12. Firm F is growing quickly. Dividends are expected to grow at a 21 percent rate for the next 3 years, with the growth rate falling off to a constant 5 percent thereafter. If the required return is 10 percent and the company just paid a $2.10 dividend. what is the current share price? A. $81.02 B. $91.50 C. $75.23 D. $54.15 E. $65.23

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