What is the value of a common stock if: a. the firm's earnings and dividends are growing annually at 4 percent, the current dividend is $1.32, and investors require 8 percent return on investments in common stock? ​ b. What is the value of this stock if you add risk to the analysis and the firm's beta coefficient is 0.8, the risk-free rate is 1.5 percent, and the return on the market is 8.5 percent? ​ c. If the price of the stock is $35, what is the rate of return offered by the stock? Should the investor acquire this stock?

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