correct ans:

a)61.11, b) -2%, c) 9%, d) 46.06, e) -2%, f) -9%

A stock plans to make a dividend payment at the end of the year of $5.50. After that, dividends will decline at a rate of 2% per year indefinitely. The required return on the stock is 7%. What is the value of the stock today? $59.89 What is this year's capital gains yield? 7% what is this year's dividend yield? 9% What is the value of the stock in 14 years? $82.90 What is the capital gains yield in 100 years? 7% What is the dividend yield in 25 years? 7%