Question: Question No 3. (Marks 6) Use the data set which is labeled below: Stock price (PO) 85.50 Next annual dividend (D1) 7.27 This morning, you

Question No 3. (Marks 6) Use the data set which is labeled below: Stock price (PO) 85.50 Next annual dividend (D1) 7.27 This morning, you purchased eBay Inc. Common Stock. You can find information about the stock price and next annual dividend (D1) in Excel (Question 3). You require a 12 percent rate of return and the annual dividend increases at 3.5 percent annually. 1. What is the expected value of this stock five years from now? (Marks 2) 2. What is the amount of the dividend in four year (D4)? (Marks 2) 3. What are the average capital gains yield and dividend gains yield? (Marks 2) * You should describe each step in detail and provide intermediate calculations. Add tables from Excel if necessary. * Do not delete anything from the Word file. * Write your answers after each question. * Be careful when rounding. Leave two decimal places

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