Problem 11-09 The dividend-grow model, V=kgD0(1+g) future growth. As of now, investors' required return is 8 percent. The current dividend is $1.5 a share and is expected to growalle 4 percent, so the current market price of the stock is $39. Management may make an investment the firm in 5 percent, but the investment will require an increase in retained earnings, so the firm's dividend must be cut to $1.3 a share. Should management make the investment and reduce the dividend? Round your answer to the nearest cent. The value of the stock