Question: 1.Vandelay Industries just paid a dividend of $1.95 per share on its stock. The dividends are expected to grow at a constant rate of 6%

1.Vandelay Industries just paid a dividend of $1.95 per share on its stock. The dividends are expected to grow at a constant rate of 6% per year indefinitely. If investors require a return of 11% on the stock, what is the current price?

a.What will be the price in 3 years?

b.What will it be in 16 years?

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