7. Assume the risk-free rate is 5% and the market risk premium is 8%. The stock of Physicians Care Network ( PCN ) has a beta of 1.5. The last dividend paid by PCN(D0) was $2 per share. What would PCN's stock value be if the dividend were expected to grow at a constant rate of 0% Choice: $0.00 Choice: \$5.05 Choice: \$11.77 Choice: $20.40 8. Assume the risk-free rate is 6% and the market risk premium is 6%. The stock of Physicians Care Network (PCN) has a beta of 1.5. The last dividend paid by PCN(D0) was $2 per share. What would PCN 's stock value be if the dividend were expected to grow at a constant rate of 10%. Choice: $35.00 Choice: $40.00 Choice: $44.00 Choice: $50.00