Fey Fashions expects the following dividend pattern over the next seven years.
year 1 year 2 year 3 year 4 year 5 year 6 year 7
$1.30 $1.43 $1.57 $1.73 $1.90 $2.09 $2.30
The company will then have a constant dividend of $2.60 forever. What is the stock's price today if an investor wants to earn:
a. 17%
b. 23%