(20 pts) 5. Suppose that Airbnb, Inc. (ABNB) is selling for $115.00. Analysts believe that the...

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(20 pts) 5. Suppose that Airbnb, Inc. (ABNB) is selling for $115.00. Analysts believe that the growth rate for ABNB will be 30% per year for the next two years, 20% per year for the following three years, and thereafter the growth rate will be 8% indefinitely. ABNB's most recent cash dividend per share was $3.00. The dividend will grow by the same rate as the company. Stockholders require a return of 20 percent on ABNB's common stock. Required: a) Based on the above assumptions, determine the price of ABNB's common stock. b) Explain whether an investor should buy the stock. (20 pts) 5. Suppose that Airbnb, Inc. (ABNB) is selling for $115.00. Analysts believe that the growth rate for ABNB will be 30% per year for the next two years, 20% per year for the following three years, and thereafter the growth rate will be 8% indefinitely. ABNB's most recent cash dividend per share was $3.00. The dividend will grow by the same rate as the company. Stockholders require a return of 20 percent on ABNB's common stock. Required: a) Based on the above assumptions, determine the price of ABNB's common stock. b) Explain whether an investor should buy the stock.