Assignments Sarac 4 Problem 7-20 Constant-Growth Model (LO2) 10 pour Metattend's stock will generate earnings of $6 per share this year. The discount rate for the stock is 15%, and the rate of return on reinvested earnings also is 15%. . Find both the growth rate of dividends and the price of the stock if the company relivests the following fraction of its earnings in the firm: (00% 40% 60%. (Do not round intermediate cniculations. Enter the growth rates as a whole percent.) Paint References Reinvestment of Earings 40% 04 60% Growth rate of dividends Stock price b. Redo part(a) now assuming that the rate of return on reinvested earnings is 20%. What is the present value of growth opportunities (PVGO) for each reinvestment rate? (Do not round intermediate calculations, Round your answers to 2 decimal places.) Reinvestment of Earnings 40% 60% 0% PVOO