1. According to dividend discount model. please calculate the intrinsic value for stock today. now the stock price is 38.3. the roe is 16.6%. the required rate of return is 10%, dividend is 1.39, assume that after three years,the company will increase the DPR to 70%.
2. You plan to make your first $7618 contribution to your individual retirement account in 4 years. Assuming you earn a 9.78 percent rate of return and make no additional contributions, what will your account be worth (in $) when you retire in 43 years?