The current price of the lawn-care business Lawn Wranglers stock is $22 per share. The most recent dividend of $1 was paid just an instant ago. Your models suggest that the appropriate discount rate for this stock is 15%.

A. Lawn Wranglers is growing at a stable rate, and it is in every respect a stable company. What do all of the facts that you have suggest to you about the growth rate of Lawn Wrangers dividends? Please be as precise as you can. (8 points)

B. What part of Lawn Wranglers expected return is based on appreciation in its stock price and what part is based on dividend payout? Please be precise. (7 points