Problem 6 a. Silver Screen Features, Inc. has stock that is selling for $45/share. The stock's last dividend was Do= $2.50. The dividend is expected to grow at 7% per year indefinitely. i. What is the expected stock price one year from now? ii. What is the estimated required rate of return on the stock? b. I Alberta Industries, Inc. has preferred stock with an annual dividend of $14 per share. The preferred shares sell for $120. What is the preferred stock's required rate of return? c. Maxtronics, Inc. has never paid a dividend. Its current free cash flow of $500,000 is expected to grow at a constant rate of 5.5%. The weighted average cost of capital is WACC=12%. Calculate the estimated value of operations for Maxtronics