Problem $14-4$ Estimating the DCF Growth Rate $[$LO$1]$

Suppose Wacken, Limited, just issued a dividend of $$2\mathrm{.}57$ per share on its common stock. The company paid dividends of $$2\mathrm{.}10,$$$2\mathrm{.}31,$$$2\mathrm{.}38,$ and $$2\mathrm{.}49$ per share in the last four years.

a$.$ Fi the stock curreritly sells for $$60,$ what is your best estimate of thie company's cost $2.$ intermediate caiculations and enter'your anstiftenas a percent rounded to $2$ decimal places; e$.$g$.,32\mathrm{.}96.)$

a$.$ What, you use the geometic aver$$ge growth rate? $($Do not round intermediate cal$$ulations and enter your answer as a percsint rounded to $2$ decimal places, e$.$g$.32.$i$6.)$