Question: solve using equations not excel please 20. Nestl S.A just announced that it will cut its next dividend from $3.50 to $2.50 per share and

solve using equations not excel please

20. Nestl S.A just announced that it will cut its next dividend from $3.50 to $2.50 per share and use the extra funds to expand its operations. Prior to this announcement, Nestl's dividends were expected to grow at 4% per year and Nestl's stock was trading at $35.00 per share. With the new expansion, Nestl's dividends are expected to grow at 8% per year indefinitely. Assuming that Nestl's equity cost of capital is unchanged by the expansion, what is the value of a share of Nestl S.A. after the dividend cut? A. $41.67 B. $33.50 C. $35.00 D. $42.53

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