What is value of the common stock

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Bates Inc. pays a dividend of ?$1.50 and is currently selling for ?$37.65. If investors require a return of 10 percent on their investment from buying Bates? stock, what growth rate would Bates Inc. have to provide the? investors?_______________ ?(Round to two decimal? places.)

Herrera Motor Inc. paid a ?$2.50 dividend last year. At a constant growth rate of 6 ?percent, what is the value of the common stock if the investors require a rate of return of 19 ?percent?___________ ?(Round to the nearest? cent.)

Reference no: EM131939383

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