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Anle Corporation has a current stock price of $ 1 8 . 9 1 and is expected to pay a dividend of $ 1 .

Anle Corporation has a current stock price of $ 18.91 and is expected to pay a dividend of $ 1.10 in one year. Its expected stock price right after paying that dividend is $ 20.93.
a. What is Anle's equity cost of capital?
b. How much of Anle's equity cost of capital is expected to be satisfied by dividend yield and how much by capital gain?

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