Question $5$: MRK common stock sells for $$80.$The company will pay an annual dividend of $$4\mathrm{.}00$next year and the rate of growth of its dividend is $4\%.$What is the rate of return on this stock?$$Answer in Y$.$XX$\%$format without the percentage sign, so Y$.$XX$.$

Question $6$: MSFT common stock just paid a dividend of $$3\mathrm{.}60$per share this year.$$The growth rate is $5\%$and the risk$-$free rate is $2\%.$You require a $12\%$rate of return on a security with similar risk.$$What is the maximum you are willing to spend per share to buy this common stock?$$Answer without a $ sign and to two decimal places.

Question $7$: A NEE preferred stock pays a constant annual dividend of $$1\mathrm{.}80$per share.$$You require a $9\%$rate of return on a security with similar risk.$$The risk$-$free rate is $2\%.$What is the maximum per share price you are willing to pay to buy this preferred?$$Answer without a $ sign and to two decimal places.

Question $8$: FE adheres to a constant rate of growth dividend policy.$$Next year, the company expects to pay an annual dividend of $$1\mathrm{.}65$a share on its common stock.$$The company just paid a dividend of $$1\mathrm{.}50$a share.$$The stock has a required return of $18\%.$The company will pay an annual dividend of $$3\mathrm{.}60$next year $($do not use, answers based on this will be treated as correct, if correct$).$What will one share of common stock be worth five years from now?$$Answer without a $ sign and to two decimal places.