Question: please do it in excel and post screenshots Q1: Wheat Inc. has just paid its annual dividends of $2.10. The company is expected to pay
Q1: Wheat Inc. has just paid its annual dividends of $2.10. The company is expected to pay the same $2.10 dividend for year 1 and 2. After that dividends is expected to grow at an annual rate of 18% for the next 2 years, and at 12% for the following 3 years, then, starting in year 8 dividend is expected to grow at a constant rate of 5% indefinitely. Required rate of return on Wheat Inc. stock is 14%. a. What is the expected dividend in year 5 ? b. What is the expected value for the stock in year 7 ? c. What is the current value of one share of Wheat Inc. stocks today? Q2: Assuming Stock ( A ) is selling for $8, just paid dividend of $1.5 and the dividend growth rate is 3%. Using DDM calculate the exfiected rate of return
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