Assume that Bon Temps is a constant growth company whose last dividend (d0, which was paid yesterday) was $2.00 and whose dividend is expected to grow indefinitely at a 6 percent rate. The appropriate rate of return for Bon Temps stock is 16 percent.

A. What is the firms expected dividend stream over the next three years?

B. What is the firms current stock price?

C. What is the stocks expected value one year from now?

D. What are the expected dividend yield, the capital gains yield, and the total return during the first year?