Nadia Ahmed is considering an investment in the common shares of AquaHarvest Fisheries, a prominent player in the aquaculture industry in Bangladesh. The company recently distributed dividends of BDT 5 per share. Nadia expects a significant uptick in dividend growth owing to the company's innovative sustainable fishing practices. The dividends are projected to grow at an impressive rate of 11% annually for the next 6 years. After this supernormal growth phase, Nadia assumes a transition to a more moderate growth pattern of 4% per year, expected to persist indefinitely. If Nadia targets a return of 12% from her investment, calculate the value of AquaHarvest Fisheries' common stock.

b. If the stock is currently selling at Dhaka Stock Exchange at BDT 200/ share, should Nadia

purchase the stock? Why or why not?