Question #$2$: Stock Valuation $[10$ Points$]$ Caleres Inc. has paid a constant annual dividend payment of $$4\mathrm{.}96$ per share. Suppose that you expect that Caleres Inc. will continue to pay this constant dividend payment for the foreseeable future.

$($a$)$ What is the most you would be willing to pay for a share of Caleres Inc. if you have a required return of $14\mathrm{.}2\%?$ Round your answer to two decimal places. $[4$ Points$]$

$($b$)$ Suppose that the board of directors of Caleres Inc. makes a surprise announcement that they plan to grow the dividend payment to $8\%$ annually $($g $=0\mathrm{.}08)$ from now on$.$ Given this new information, what is the most you would be willing to pay for a share of Maxim Integrated Products if you have a required return of $14\mathrm{.}2\%?$ Round your answer to two decimal places. $[$Hint: The dividend payment next year, d$1$ will be $8\%$ higher than d$0][6$ Points$]$