3. A broker offers to sell you shares of Bay Area Healthcare, which just paid a dividend of $2.50 per share. The dividend is expected to grow at a constant rate of 5% per year. The stock's required rate of return is 12%. What would be a price for this stock? Choice: $32.25 Choice: $37.50 Choice: $43.10 Choice: $45.65 4. A broker offers to sell you shares of Bay Area Healthcare, which just paid a dividend of S2 per share. The dividend is expected to grow at a constant rate of 5% per year. The stock's price is $30 a share. The stock's required rate of return is 12%. What is the expected capital gains yield at the end of the third year? MWSTW Choice: 2.5% Choice: 5.0% Choice: 7.5% Choice: $30 at end of year 5. A broker offers to sell you shares of Bay Area Healthcare, which just paid a dividend of $2 per share. The stock's price is $30 a share. The dividend is expected to grow at a constant rate of 5% per year. The stock's required rate of return is 12%. What is the expected total return yield (this is the expected dividend yield + expected capital gains yield) for each of the next three years? Choice: 8% Choice: 10% Choice: 12% Choice: 14% OL V IDONDO