The most recent dividend Oxford Limited paid was $8.50 per share. The company expects to pay the same dividend each year, forever. The required rate of return for this firm is 8%. A variety of proposals are being considered by management to redirect the firm's activities. As a shareholder, which of the following proposal would you prefer? Show your work.

Proposal #1: Do nothing, which will leave the key financial variables unchanged.

Proposal #2: Invest in new technology today that will increase the dividend growth rate to a constant rate of 4%. However, this will increase the required rate of return to 10%.

Proposal #3: Expand operations into Western Canada that would increase the growth rate for the next three years to 6% and then remain constant at 2% per year forever. However, in this case the required rate of return is expected to decrease to 7%. (Please round dividends to 2 decimal places).