5) Shares of Exeter, Inc. common stock currently trade on the market for $75 per share. The firm paid dividends of $2.20 per share this year, and that dividend is expected to grow by 5% per year indefinitely. a) What is the expected dividend for next year? b) If you believe that the appropriate required return on equity (re) for Exeter is 8%, then you would estimate the value per share of Exeter stock = Would you advise investors to buy, hold, or sell Exeter stock? Explain the reason for making that recommendation: c) Based on Exeter's current market price, investors' implied required rate of return (re) on Exeter's common stock = 6) Fairfield, Inc. has $20 book value of equity per share, and shareholders require a 9% return on equity (re) for the firm's common stock. This period, the firm earned $2.00 of net income per share. Discuss the types of assumptions that you would need to make in order to create an abnormal earnings model to compute the appropriate value for a share of Fairfield stock