Question 3 You are an investment analysist, currently evaluating a company for possible investment decision. Based on your preliminary research you find that the is expecting to pay a dividend per share of $1.00 at the end of the year. The dividend is expected to grow at the rate of 6% per year indefinitely. The required rate of return is for this investment is 11%. a) Using Gordon growth DDM model, find the value of the stock. If the stock is selling at $26.75, determine whether stock is under-or over or fairly priced. b) A company's current share price is selling at $10, which is expected to pay $1.00 for coming year. If the dividend is expected to grow at 5% forever, what is the required rate of return