2.2 Medical Corporation of America (MCA) has a current stock price $36, and its last dividend (Do) was $2.40. In view of MCA's stror financial position, its required rate of return is 12 percent. If MC, dividends are expected to grow at a constant rate in the future, what is the firm's expected stock price in five years? 2.3 A broker offers to sell you shares of Bay Area Healthcare, which just paid a dividend of $2 per share. The dividend is expected to grow at a constant rate of 5 percent per year. The stock's require rate of return is 12 percent. a. What is the expected dollar dividend over the next three years b. What is the current value of the stock and the expected stock c. What is the expected dividend yield and capital gains yield for d. What is the expected total return for each of the next three e. How does the expected total return compare with the require price at the end of each of the next three years? each of the next three years? years? rate of return on the stock? Does this make sense? Explain you