Consider the case of Portman Industries: Portman Industries just paid a dividend of $ $3\mathrm{.}12$ per share. The company expects the coming year to be very profitable, and its dividend is expected to grow by $16\mathrm{.}00\%$ over the next year. After the next year, though, Portman's dividend is expected to grow at a constant rate of $3\mathrm{.}20\%$ per year. $($Note: Do not round your intermediate calculations.$)$ The risk$-$free rate $($ r$\_$RF $)$ is $4\mathrm{.}00\%,$ the market risk premium $($ RP$\_$M $)$ is $4\mathrm{.}80\%,$ and Portman's beta is $1\mathrm{.}80.$ Assuming that the market is in equilibrium, use the information just given to complete the table. What is the expected dividend yield for Portman's stock today?

$[9\mathrm{.}15\%$; $10\mathrm{.}30\%$; $9\mathrm{.}44\%$; $7\mathrm{.}55\%]$

Now let's apply the results of your calculations to the following situation: Portman has $600,000$ shares outstanding, and Judy Davis, an investor, holds $9,000$ shares at the current price $($computed above$).$ Suppose Portman is considering issuing $75,000$ new shares at a price of $ $32\mathrm{.}59$ per share. If the new shares are sold to outside investors, by how much will Judy's investment in Portman Industries be diluted on a per$-$share basis? $ $0\mathrm{.}64$ per share $ $0\mathrm{.}54$ per share $ $1\mathrm{.}34$ per share $ $0\mathrm{.}79$ per share Thus, Judy's investment will be diluted, and Judy will experience a total ofNow let's apply the results of your calculations to the following situation: Portman has $600,000$ shares outstanding, and Judy Davis, an investor, holds $9,000$ shares at the current price $($computed above$).$ Suppose Portman is considering issuing $75,000$ new shares at a price of $ $32\mathrm{.}59$ per share. If the new shares are sold to outside investors, by how much will Judy investment in Portman Industries be diluted on a per$-$share basis? $ $0\mathrm{.}64$ per share $ $0\mathrm{.}54$ per share $ $1\mathrm{.}34$ per share $ $0\mathrm{.}79$ per share Thus, Judy's investment will be diluted, and Judy will experience a total of