Management action and stock value REH Corporation's most recent dividend was $1.96 per share, its expected annual rate of dividend growh is 5%, and the required retum is now 15\%. A variety of proposals are being considered by management to redirect the frm's activities Dotermine the impact on share price for each of the following proposed actions. a. Do nothing, which will leave the key financial variables unchanged. b. Inest in a new machine that will increase the dividend growth rate to 6% and lower the required return to 11%. c. Eliminate an unprofitable product fine, which will increase the dindend gowth rate to 9% and raise the required raturn to 16% d. Nerge with another firm, which will reduce the growth rate to 3% and raise the fequired retum to 17% e. Acquire a subsidiary operation from another manutacturec. The acquistion should increase the dindond growth fate to 8% and increase the required return to 16% a. If the firm does nothing that will leave the key financial nariatles unchanged, the value of the firm will be 1 (Round to the nearest cont.)