Portman Industries just paid a dividend of $1.68 per share. The company expects the coming year to be very profitable, and its dividend is expected to grow by 12.00% over the next year. After the next year, though, Portman's dividend is expected to grow at a constant rate of 2.40% per year. Investors expect a required rate of return of 9.12% on Portman's stock. Assuming that the market is in equilibrium, use the information just given to complete the table. What is the expected dividend yield for Portman's stock today? 7.16% 5.38% 6.72% 6.56% Now let's apply the results of your calculations to the following situation: Portman has 400,000 shares outstanding, and Judy Davis, an investor, holds 6,000 shares at the current price (computed above). Suppose Portman is considering issuing 50,000 new shares at a price of $23.79 per share. If the new shares are sold to outside investors, by how much will Judy's investment in Portman Industries be diluted on a per-share basis? $0.40 per share $0.47 per share $0.99 per share $0.58 per share Thus, Judy's investment will be diluted, and Judy will experience a total_____ of ______