4. Expected dividends as a basis for stock values The following grapht shows the value of a stocks dividends over bime. The stocks current dividend is $1.00 per share, acd dividends are expected to grow at a constant rate of 4.50% pec year. The intrinsic vasue of a stock should equal the sum of the present value (PV) of all of the tividends that a stock is supposed to pay in the fubure, but many people find it difficult to imagine adding uo an infinte number of dividends. Calculate the present value (PV) of the dividend paid today ( D0 ) and the discounted value of the dividends expected to be pad 10,20 , and 50 vean Note: Corry and round the calculotions to four decimal places: Afustrate how the FV of a particadar dividend payment will incobase depending on tiow far fiom todar the oxidend is expected to be inceived Note Round each of the discounted values of the dividends to the nearest tecth decimal piace before plocting at on the graph. You can mouie erer the points in the graph to seu their coordinates. Using the blue curve (circle symbols), plot the future value of each of the expected future dividenids for years 10,20 , and 50 . The tesuting curve in itlustrate how the FV of a particular dividend payment will increase depending on how far from today the dividend is erpected to be received Note: Round each of the discountwed values of the dividends to the nearest terch decimal place before plotsing ic on the graph. You can mouse orier the Doints in the graph to see their coordinates