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Investors require a 12% rate of return on Brooks Sisters' stock (r s = 12%). What would the estimated value of Brooks' stock be if

Investors require a 12% rate of return on Brooks Sisters' stock (rs = 12%). What would the estimated value of Brooks' stock be if the previous dividend was D0 = $1.75 and if investors expect dividends to grow at a constant annual rate of (1) - 3%, (2) 0%, (3) 7%, or (4) 11%? Do not round intermediate calculations. Round your answers to the nearest cent. Using data from Part a, what is the constant growth model's estimated value for Brooks Sisters' stock if the required rate of return is 12% and the expected growth rate is (1) 12% or (2) 14%? Are these reasonable results? Round your answers to the nearest cent. Use a minus sign to enter negative values, if any. If your answer is zero, enter "0".

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