uestion Question 1. Suppose that you are considering the purchase of a stock that sold for $X1 oneyear ago. At that time, the company paid a dividend of $X2. Dividends have been increasing at X3% and will continue to do this or the next three years, and then wi continue to grow at 4% ever You stran a regression onth est kv market returns and estimated a characteristic line ofX5. Additional data is provided below. a. Estimate the price of the stock today and in one year stnatethertce mes fom e rovide abrend diwidendreturfrthefirs year ofownershipitody t the estimated prices. c. Explain the relationship between total return, capital return, and dividend return and how this could be used in investment decisions 3-month Treasury Bills %-5.18 30-year Treasury Bonds % 5.88 30 year Aaa Rated Corporate Bonds Inflation Rate %-6.08 X1 22.42 X2 3.26 X3# 3.91 X4 2.58 X5 1.34 Inflation Rate % Market Risk Premium% 3.13 5.64