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The ASX listed company Dinerodung has just released an announcement to the public regarding its dividend growth. At the end of the current fiscal year

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The ASX listed company Dinerodung has just released an announcement to the public regarding its dividend growth. At the end of the current fiscal year 2021 (i.e. at t = 1), the company expects to pay a $0.71 per share dividend. The dividend will then grow at 26.0 percent the next year (at t = 2) and 30.0 percent in the following year (at t = 3). After that, the growth rate of dividend would level off at 6.0 percent a year. The company's equity cost of capital is 10.5 percent. [75% of marks] (a) What is Dinerodung's expected share price today? Dinerodung's expected share price today is $ (Give answer to 2 decimal places). [25% of marks] (b) What is Dinerodung's expected share price 10 years from today? (Hint: Share price growth rate is the same as dividend growth rate when the latter is stable.) Dinerodung's expected share price 10 years from today is $ (Give answer to 2 decimal places)

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