Exhibit 8.4 USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S) Consider a firm that has just paid a dividend of \$1.5. An analyst expects dividends to grow at a rate of 9 percent per year for the next three years. After that dividends are expected to grow at a normal rate of 5 percent per year. Assume that the appropriate discount rate is 7 percent. 16. Refer to Exhibit 8.4. The future price of the stock in year 3 is a. \$81.75. b. $84.81. c. $92.56. d. S101.85. e. \$111.16.