Stock A yesterday paid its annual dividend (D0) of $2.50 per share. Dividends are expected to grow at a constant rate of 6 percent each year.

Stock A yesterday paid its annual dividend (D0) of $2.50 per share. Dividends are expected to grow at a constant rate of 6 percent each year. You have calculated that the risk-free rate is 3 percent, the MRP is 8 percent, and that this stock has a beta of 1.10. Determine what percentage of the stock's current price is based on the dividends to be received over the next 25 years (Years 1 through 25).