1. Last year, Archer Daniels Midland Company (ADM) had a dividend of $8 per share (DIV0 = 8). Analysts predict that the company will experience an abnormal growth rate of 19% for the next five years and then the growth rate will drop to a constant rate of 4%. What is the expected dividend per share at year 6?
2. Last year, Archer Daniels Midland Company (ADM) had a dividend of $7 per share (DIV0 = 7). Analysts predict that the company will experience an abnormal growth rate of 15% for the next four years and then the growth rate will drop to a constant rate of 4%. What is the dividend per share at year 5?
3. American States Water Co. (AWR), a utility company, has experienced a constant growth rate of 5% for a long time and the constant growth is expected to continue. The company reported a dividend per share of $2.86 for the current year (DIV0 = $2.86). If investors require 8% return, what should be AWR's stock price?