Swink Electric, Inc., has just developed a solar panel capable of generating

200 percent more electricity than any solar panel currently on the market. As a

result, Swink is expected to experience a 15 percent annual growth rate for the

next five years. When the five-year period ends, other firms will have developed

comparable technology, and Swinks growth rate will slow to 5 percent per year

indefinitely. Stockholders require a return of 12 percent on Swinks stock.

The firms most recent annual dividend (D0), which was paid yesterday, was

$1.75 per share.

2.e (7 points)

Draw a graph to show the expected dividends over the next five years