Question 25 (1 point) Alberta Royalty Trust Inc. is projecting it will pay the following dividends (assume paid at the end of each year): . Year 1 $16.00 . Year 2 $12.00 . Year 3 $8.00 . Year 4 $4.00 . Year 5 $2.00 After the end of year 5 there will be no more oil in its reservoirs. Analysts are predicting the price of crude to grow at 2% per year for perpetuity. If an investor wants a 15% return and the stock is $35.00 should the investor buy the stock? a) None of these answersAfter the end of year 5 there will be no more oil in its reservoirs. Analysts are predicting the price of crude to grow at 2% per year for perpetuity. If an investor wants a 15% return and the stock is $35.00 should the investor buy the stock? a) None of these answers b) No because the firm is valued at $31.53 and can be bought for $35.00 c) No because the firm is valued at $42.00 and can be bought for $35.00 ") Yes because the firm is valued at $39.18 and can be brought for $35.00 (e) Yes because the firm is valued at $31.53 and can be bought for $35.00Question 26 (1 point) As the required rate of return increases, the: ( a) Net present value increases. b) Average accounting return decreases c Discounted payback period decreases O d) Profitability index decreases. O e) Payback period decreases