Common stock value$-$Variable growth Personal Finance Problem Home Place Hotels, Inc., is entering into a $3-$year remodeling and expansion project. The

construction will have a limiting effect on earnings during that time, but when it is complete, it should allow the company to enjoy much improved growth in earnings

and dividends. Last year, the company paid a dividend of $$3\mathrm{.}90.$ It expects zero growth in the next year. In years $2$ and $3,4\%$ growth is expected, and in year $4,17\%$

growth. In year $5$ and thereafter, growth should be a constant $8\%$ per year. What is the maximum price per share that an investor who requires a return of $17\%$ should

pay for Home Place Hotels common stock?