Your broker offers to sell you some shares of Bahnsen & Co. common stock that paid a dividend of $1.00 yesterday. Bahnsen's dividend is expected to grow at 7% per year for the next 3 years. If you buy the stock, you plan to hold it for 3 years and then sell it. The appropriate discount rate is 11%.

a. Find the expected dividend for each of the next 3 years; that is, calculate D₁, D₂, and D₃. Note that D₀ = $1.00. Do not round intermediate calculations. Round your answers to the nearest cent. D₁ = $ D₂ = $ D₃ = $

b. Given that the first dividend payment will occur 1 year from now, find the present value of the dividend stream; that is, calculate the PVs of D₁, D₂, and D₃, and then sum these PVs. Do not round intermediate calculations. Round your answer to the nearest cent. $

c.You expect the price of the stock 3 years from now to be $32.77; that is, you expect to equal $32.77. Discounted at an 11% rate, what is the present value of this expected future stock price? In other words, calculate the PV of $32.77. Do not round intermediate calculations. Round your answer to the nearest cent. $

d.If you plan to buy the stock, hold it for 3 years, and then sell it for $32.77, what is the most you should pay for it today? Do not round intermediate calculations. Round your answer to the nearest cent. $

Use the equation below to calculate the present value of this stock. e. Assume that g = 7% and that it is constant. Do not round intermediate calculations. Round your answer to the nearest cent. $

f. Is the value of this stock dependent upon how long you plan to hold it? In other words, if your planned holding period was 2 years or 5 years rather than 3 years, would this affect the value of the stock today?