To be able to apply the two-stage dividend growth model to a stock, the stock must have Multiple Choice no dividends for five years, then increasing dividends forever $1 per share annual dividend for two years, then $1.25 annual dividends forever decreasing dividends for six years followed by one final liquidating dividend payment dividends payments that increase by 2, 3, and 4 percent respectively for three years followed by a constant dividend thereafter dividend payments that increase by 10 percent per year for five years followed by dividends that increase by 3 percent annually thereafter