National Inc. just paid a dividend of $1.45 per share on its stock and its dividends are expected to grow at a constant rate of 6% annually indefinitely. The required return investors demand for this kind of company is 11%. Assume a year consists of exactly 52 weeks.
a) What is the current stock price?
b) What will the stock price be in 3 years?
c) What will the stock price be in 15 years?