$($Common stock valuation$)$ Dalton Inc. has a return on

equity of $13\mathrm{.}4$ percent and retains $56$ percent of its

earnings for reinvestment purposes. It recently paid a

dividend of $$3\mathrm{.}75$ and the stock is currently selling for

$$40.$

a$.$ What is the growth rate for Dalton Inc.?

b$.$ What is the expected return for Dalton's stock?

c$.$ If you require a $12$ percent return, should you invest in

the firm?