1. How much is to be deposited each quarter (equal amount), beginning today and for the next 4 quarters to make a payment of $1432.02 ten years from now, interest rate being 12% p.a.?
2. A stock currently pays no dividend. It plans to start paying a dividend in year 3. The first dividend will be $10 and dividends are expected to grow at 3% each year thereafter. Using a discount rate of 8%, what is the current stock price to the nearest cent?