Show all your work please. I need step by step solutions to solve all parts of the problem and show work. Will provide a positive rating if answer for all parts is provided and work is shown

The following is the question that needs to be solved:

What is the value of a stock that expects to pay a $1.00 dividend next year, and then increase the dividend at a rate of 3% per year, indefinitely? Assume a 7% cost of capital