GIVEN:

Resorts Int'l pays dividends to its stockholders according to an $60\%$ target dividend payout ratio. It has just paid a $$3\mathrm{.}00$ dividend on each share.

In one year, the company expects its earnings per share to be better that their current level and equal $$9\mathrm{.}00.$ The speed of the adjustment coefficient is $0\mathrm{.}55($set "Lintner's dividend smoothing model"$).$

QUESTIONS:

Compared to the just paid dividend, in one year Resorts Int'I will increase its per$-$share dividend by $

$.$ In other words, it'll pay $ per share. If

Resorts Int'l continues generating such earnings year after year in the future, then the dividend it will be paying on each share will be slowly approaching its new target level of :