What is the current price

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Fowler, Inc., just paid a dividend of $3.05 per share on its stock. The dividends are expected to grow at a constant rate of 5.5 percent per year, indefinitely. Assume investors require a return of 10 percent on this stock.

a) What is the current price? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

b)What will the price be in five years and in fourteen years? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

Reference no: EM132396729

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