$2$ Points

A stock is expected to pay a year$-$end dividend of $$2\mathrm{.}00,$ Le$.,D_1=$$$2\mathrm{.}00.$ The dividend is expected to decline at a rate of $5\%$ a year forever $)=(-5\%.$ If the company is in equilbrium and is expected and required rate of return is $15$ W $,$ then which of the following statements is CORRECT?

The company's current stock price is $$20.$

The company's dividend yield $5$ years from sow is expected to be $10\%.$

The constant grewth model cannot be used because the growh rake is negaive.

The company's expected capital gains yield is $5\%.$

The company's expected stock priee at the beginning of next year is $30\mathrm{.}50.$