Consider the following scenario for Bait Switch Limited (BSW Ltd). BSW Ltd's most recently paid annual dividend was $0.95 per ordinary share. BSW Ltd ordinary shares currently sell for $20 in the stock market. Estimated constant growth rate of earnings and dividends is 1.5% per year, while the required rate of return (based on CAPM) is 6.7% per year.

a) What is your valuation of the BSW Ltd's ordinary share?

b) Based on your estimate of the share value, would you buy BSW Ltd's shares in the stock market?