24. Award: 10.00 points Consider four different stocks, all of which have a required return of 18.5 percent and a most recent dividend of $3.65 per share. Stocks W, X, and Y are expected to maintain constant growth rates in dividends for the foreseeable future of 10.5 percent, 0 percent, and -5.25 percent per year, respectively. Stock Z is a growth stock that will increase its dividend by 20.5 percent for the next two years and then maintain a constant 12.5 percent growth rate, thereafter. a. What is the dividend yield for each of these four stocks? Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. b. What is the expected capital gains yield for each of these four stocks? Note: A negative answer should be indicated by a minus sign. Leave no cells blank - be certain to enter "0" wherever required. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. a. Stock W dividend yield Stock X dividend yield a. Stock Y dividend yield a. Stock Z dividend yield b. Stock W capital gains yield a. Stock X capital gains yield b. Stock Y capital gains yield Stock Z capital gains yield % % % % % % % % References Worksheet Difficulty: 3 Challenge Learning Objective: 07-01 Assess how stock prices depend on future dividends and dividend growth. Section: 7.1 Common Stock Valuation