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Stock (Div) Div Yld % PE Ratio Close Price Net Chg Hi Lo 64.60        47.80          Abbott...

Stock (Div) Div
Yld %
PE
Ratio
Close
Price
Net
Chg
Hi Lo
64.60        47.80          Abbott 1.12 1.9       235.6     62.91     −.05    
145.94        70.28          Ralph Lauren 2.50 1.8       70.9     139.71     .62    
171.13        139.13          IBM 6.30 4.3       23.8     145.39     .19    
91.80        71.96          Duke Energy 3.56 4.9       17.6     74.30     .84    
113.19        96.20          Disney 1.68 1.7       15.5     ??       .10    
a. Using the dividend yield, calculate the closing price for Walt Disney on this day. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
b. Assume the actual closing price for Walt Disney was $108.85. Your research projects a 4 percent dividend growth rate for Walt Disney. What is the required return for the stock using the dividend discount model and the actual stock price? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

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