please assist two questions Company Z's earnings...
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please assist two questions
Company Z's earnings and dividends per share are expected to grow indefinitely by 4% a year. If next year's dividend is $4 and the market capitalization rate is 14%, what is the current stock price? (Round your answer to 2 decimal ploces.) Pharmecology just paid an annual dividend of $2,30 per share. It's a mature company, but future EPS and dividends are expected to grow with inflation, which is forecasted at 5.00% per year. The nominal cost of capital is 11.75% a. What is Pharmecology's current stock price? (Do not round intermediate calculations. Round your answer to 2 decimal places.) b. What would be Pharmecology's current stock price using forecasted real dividends and a real discount rate? (Do not round intermediate colculations. Round your answer to 2 decimal places.)
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