A company currently pays of 60% of its earnings in dividend, and at the end of last year the earnings were $100 per share and the ROE is 18%. Firm's stock has market beta of 1.2, the market expected return is 7% and the risk-free rate is 1%. a. [4pts] What is the intrinsic value of firm's stock based on the constant-growth DDM? b. [2pts) What is the intrinsic value of firm's stock based on the 2-stage growth DDM if the firm will grow the same rate in part a for the next 5 years, followed by 4% growth in perpetuity thereafter? c. [2pts] What is the intrinsic value of firm's stock based on the 2-stage growth DDM if the firm will grow the same rate in part a for the first year then decline linearly to 4% in 5 years (ie. the growth rate from year 5 to 6 is 4%), then stay at that level thereafter? Using the excel to find the intrinsic price. Please export the spreadsheet to pdf and submit it. Excel files are not accepted