McCracken? Roofing, Inc., common stock paid a dividend of $ 1.42 per share last year The company expects earnings and dividends to grow at a rate of 6% per year for the foreseeable future.
A) What required rate of return for this stock would result in a price per share of $22 ?
B) If McCracken expects both earnings and dividends to grow at an annual rate of 12%
what required rate of return would result in a price per share of $22