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Question H 11 Shatin Intl, has 10 million shares, an equity cost of capital 13%, and is expected to pay a total dividend of $25

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Question H 11 Shatin Intl, has 10 million shares, an equity cost of capital 13%, and is expected to pay a total dividend of $25 milion each year forever. It announces that it will increase its payout to shareholders. Instead of increasing its dividend, it will keep it constant and will start repurchasing $a million of stock each year as well. How much will its stock price increase? The stock price will increase by $ (Round to the nearest cent.)

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