Notable Books (NB) is a family-controlled company that dominates the retail book market. NB has currently book value of $10 per share (B0=$10), is expected to earn $2.00 forever, and pays out all of its earnings as dividends. Its required return on equity is 12.5 percent. a) Calculate per-share book value for NB for each of the next three years. B1=B2=B3= b) Calculate the residual income for NB for each of the next three years. RI1= RI2= RI3= b) Based on what you observe in (a) and (b), determine the value for the stock of JB using the residual income valuation model