. Calculate Capital Gains from Price Appreciation. If the last dividend of Alpha Beta Corporation was D0 = $1.24, but is projected to continue growing every year by g = 5.5 percent, and the stock’s price right now is P0 = $37.84, then what is the stock’s expected price appreciation for the coming year? (HINT: the theory behind the Dividend Discount Model states that this question can be answered without any calculations).4.7%5.5%6.5%7.0%8.1%2.Calculate Capital Gains from Price Appreciation. If the last dividend of Alpha Beta Corporation was D0 = $1.24, but is projected to continue growing every year by g = 5.5 percent, and the stock’s price right now is P0 = $37.84, then what is the stock’s expected price appreciation for the coming year? (HINT: the theory behind the Dividend Discount Model states that this question can be answered without any calculations).4.7%5.5%6.5%7.0%8.1%3.For the situation described above, what is the dividend in year 4 that is used to determine the horizon value or terminal value of the stock in three years, P3?2.2532.5272.7292.987