Question 1 The company As stock has paid dividends of $1.75 over the past 12 months. Its historical growth rate of dividends has been 5% but analysts expect the growth rate to be 6% annually for the foreseeable future. solves i) Determine the value of the stock if the required rate of return on stocks of similar risk is 11%. Please show each step of your calculation. ii) If analysts believe the risk premium on the stock should be decreased by 0.5%, what is the new required rate of return on company As stock? What is the percentage change in price compared with part i)? Please show each step of your calculation.