Assume today is Jan. 1st, 2022, you observe that ADA Companys stock price is $40. Analysts forecast that ADAs next dividend, to be paid at year end of 2022, will be $1.00. You also find the following historic annual return of the company ADA for the last 4 years. 2018 2019 2020 2021 PTUs Returns -12% +14% -10% +40%

If PTUs future dividend growth rate, g, is constant. What must be the value of this growth rate g if stock price today is $40, next dividend is $1, and the arithmetic (simple) average return you calculate in a) is cost of equity, Re