Faber Manufacturing has no earnings and dividend growth is 0% for the first three years. From the fourth year onwards the dividend is expected to grow at the rate of 5%. This growth rate is expected to continue forever. The first dividend was $2.00 which is expected to be paid from the fourth year. Required: a) b) Explain the importance of dividends in stock investment. (3 marks) Discuss the term zero growth stock, constant growth and non-constant growth. (6 marks) c) Construct a model to determine the value of the stock for coming 20 years if the required rate of return of Faber's equity is 10%? (12 marks) d) Illustrate a graph by indicating the price and years. (4 marks)