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What eflect would the proposed investment have on the firm's stockholdars? Explain. (Eulect trom fhe drop-down menu.) The higher growth rabe associabed with undertaking the

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What eflect would the proposed investment have on the firm's stockholdars? Explain. (Eulect trom fhe drop-down menu.) The higher growth rabe associabed with undertaking the irvestment the market value of the stock. c. On the basis of your fndings in part (b), do the stockholders wh or lose as a sesult of unsertaking the proposed risky imvestment? should the frim do it? Why? (Seioct from the drop-down monus.) The frm underake the proposed project. The price per shate by $19.68. Athough riek and the required sesam, the dividend growth offents this in walue. d. Foework parts (a) and (b) assuming that at the begineing of 2016 the annual divifend growh rate retums to the rase experienced between 2004 and 2012 . The ansual per share divedend for 2014 will be 5 IPlound to the nearest cent.| The ansual per share divedend for 2015 will be 5 (Resind to the nearest cent.) The value per share for 20+5 wil bet Ifound to the nescest cent.) Assuming the lower growth rale begirving in 2016, fee value per share soday will be 3 . (thound to the raarest cent.) orowth is an important factor in thes decision. proposed risky investiment on the frmis stock value. To perfonm the necessary aralysis, Inez gathered the following information on the firm's stock. During the immesiate past 5 years (20082012) the arnual dividends paid on the frmis common shock wore as follows: (Click on the icon here E in order to copy the contert of the data table below into a spreasihed.) of 16.0%, regardless of which dividend growth eutcome eceur. Acmed with the precesirg informaton, ines must now assess he impact of the progosed fiky investment on the markat walue of Suarex's stock. To Do a. Find the corrent value per share of Suarez Manulacturing's common stock. the proposed imvestment have on the firm's stockholders? Explain. c. On the batis of your findings in part (b), do the stockholders win or iose as a result of undertaking the proposed faky investiment? should tho firm do it? Wey? d. Rework perts (8) and (b) astuming that at the beginning of 2016 the atnual diviferd growth take returns to the rate experienced between 2601 and 2012 . a. Find the oment value per share of Siarez Manslacturing's trmmon stock. The growh rate of dividends is he. (Roound to dop dodmal places). The current value per share will bes (Rhound to the nownst cert.)

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