Medtrans is a profitable firm that is not paying a dividend oni common stock. James Weber, an analyst for A. G. Edwards, believes that Medtrans will begin paying a $1.00 per share dividend in two years and that the dividend will increase 5% annually thereafter. Bret Kimes, one of James' colleagues at the same firm, is less opti- mistic. Bret thinks that Medtrans will begin paying a dividend in four years, that the divi- dend will be $1.00, and that it will grow at 4% annually. James and Bret agree that the required return for Medtrans is 13%. a. What value would James estimate for this firm? b. What value would Bret assign to the Medtrans stock? B19. (Dividend valuation) Wichita Realty Trust is expected to pay a modest dividend of $1.00 per share for two years and then $2.00 per share for years three through five. Then in year six, Wichita Realty Trust is planning to pay a $40.00-per-share liquidating dividend and go out of business. What is the value of a share of this firmi the required return is 10%? B20. (Supernormal growth model) Gopalan Corporation has a current dividend of $1.00. The dividend is expected to grow at 40% annually for three years and then to grow thereafter at 500 per year. If the required return is 14%, what is the value per share