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Melissa Cutt is thinking about buying some shares of EZLawn Equipment, at $ 4 6 . 0 3 per share. She expects the price of

Melissa Cutt is thinking about buying some shares of EZLawn Equipment, at $46.03 per share. She expects the price of the stock to rise to $49.72 over the next 3 years. During that time she also expects to receive annual dividends of $4.57 per share.
a. What is the intrinsic worth of this stock, given a required rate of return of 9%?
b. What is its expected return?

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