Meridian Inc. is a fast$-$growing drug company. Management forecasts that in the first four years, the company$$s dividend growth rates will be $3$ percent, $5$ percent, $8$ percent, and $9$ percent respectively. The company expects to pay a dividend of $$2\mathrm{.}00$next year. After four years, management expects dividend growth to stabilize at a rate of $8$ percent. The required rate of return is $10$ percent.

What are the company's dividends for the first four years?

Calculate the price of the stock at the end of year $4,$ when the firm settles to a constant$-$growth rate.

What is the current price of the stock $($P$0)?$

Would you purchase this stock if it was offered to you at $$100.$ Why?$$