5. Bay City Sugar Inc. S rate of return earned on reinvested funds is a constant 15% and it distributes of earnings to its shareholders as dividends. Bay City Sugar Inc. is expected to continue to do so indefinitely. The next dividend is expected to be 58 per share. a. If the market expects a 12.5% rate of return on Bay City Sugar, at what price must it be selling op b. If Bay City Sugar's earnings per share will be $20, what part of Bay City Sugar's value is due to assets in place (3pts), and what part to growth opportunities? (6pts)