A team of analysts is using a two stage variable growth model to estimate the value of ABCM's common stock. The most recent annual dividend paid by ABCM was $4 per share. The analysts expect dividends...

A team of analysts is using a two stage variable growth model to estimate the value of ABCM's common stock. The most recent annual dividend paid by ABCM was $4 per share. The analysts expect dividends to increase 7% per year for the next 3 years and then drop to 3% starting in year 4 and remain at that rate for the foreseable future. The required rate of retun used for the analysis is 8%

c.) What is the value of the stock at the end of year 3? (Use constant growth model)

d.) What is the value of the stock attricutable to years 4 and beyond? (use pv function, the answer to question C is the FV

e.) What is the toal value of ABCM Stock?