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  3. 4. a. my company paid its most recent (2021) annua

4. a. My company paid its most recent (2021) annual dividend of $4.5 per share....

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4. a. My company paid its most recent (2021) annual dividend of $4.5 per share. The firm's financial manager expects that these dividends will grow at a 3% annual rate over the next four years. If the firm's cost of capital, rs, is 7.5%, then find out the price of the stock at the end of 2021. [6] b. If my company paid $7.5 per share annual dividend at the end of 2025 and the firm's manager expects the dividends to grow at 6% annual rate from then onwards for the foreseeable future, then please find out the price of the stock at the beginning of 2025 given the required return, r's is 7.5% [6]

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