Problem $19-16$ Dividend Smoothing

The Sharpe Company just paid a dividend of $$2\mathrm{.}00$ per share of stock. Its target payout ratio is $50$ percent. The company expects to have earnings per share of $$4\mathrm{.}92$ one year from now.

a$.$

If the adjustment rate is $\mathrm{.}4$ as defined in the Lintner model, what is the dividend one year from now? $($Do not round intermediate calculations and round your answer to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$

b$.$ If the adjustment rate is $\mathrm{.}7$ instead, what is the dividend one year from now? $($Do not round intermediate calculations and round your answer to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$