except for the 5% income growth rate(and beginning of the year common equity to support it) is only expected for years 2 and 3. Then the growth is expected to be zero and all income is expected to shareholders for all future years.

a. Compute the dividend payment for the next three years and then dividend for all future years.

b. Use the dividend discount(i.e free cash flow to equity investor) valuation model to estimate the company's current stock price.