2. Crecimiento s.a. currently plows back 30% of its earnings and earns a return of 25% on this investment. The forward looking dividend yield on the stock is 5%. (a) Assuming that Crecimiento can continue to plow back this proportion of earnings and earn a return of 25% on the investment, how rapidly will earnings and dividends grow? What is the expected return on Crecimientos stock? (b) Suppose that management suddenly announces that future investment opportunities have dried up. Now Crecimiento intends to pay out all its earnings. How will the stock price change in percentage terms? (c) Suppose that management simply announces that the expected return on new investment will in the future be the same as the cost of capital. Now what is Crecimientos stock price