Demarius owns investment A and 1 share of stock B. The total value of his holdings is 2,904.09 dollars. Investment A is expected to pay annual cash flows to Demarius of 370 dollars per year with the first annual cash flow expected later today and the last annual cash flow expected in 7 years from today. Investment A has an expected annual return of 3.43 percent. Stock B is expected to pay annual dividends of 40.4 dollars forever with the next dividend expected in 1 year. What is the expected annual return for stock B? Answer as a rate in decimal format so that 12.34% would be entered as .1234 and 0.98% would be entered as .0098.
The next three annual dividends paid by Oxygen Optimization stock are expected to be 6.27 dollars in one year, 7.11 dollars in two years, and 7.76 dollars in three years. The price of the stock is expected to be 94.98 dollars in two years. The expected annual return for the stock is 10.7 percent. What is the current price of one share of Oxygen Optimization stock?