Wheat Inc. just paid its annual dividends of $2.00. Dividends is expected to grow at annual rate of 18% for 3 years and at 15% for the following 2 years, then dividend is expected to gr4ow at a constant rate of 6% indefinitely. Required rate of return on Wheat Inc. stock is 14%.
a) What is the current value of one share of Wheat Inc. stocks today?
b) What would be the expected price in 11 years?