The time line below shows a nonconstant-growth dividend stock. For two years, the dividends are supposed to grow at a nonconstant rate; after that, they are expected to grow at a constant rate of 6% forever. The required rate of return is 10%.

Time (Year) 0 1 2 3 Dividends $3.5$6.00 $6.36 Key Variables P0 D1 D2 D3 $139.55 $155.15 $130.65 $115.91 Time (Year) 0 1 2 3 Dividends $3.5$6.00 $6.36 Key Variables P0 D1 D2 D3 $139.55 $155.15 $130.65 $115.91