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Anle Corporation has a current stock price of $ 2 1 . 4 3 and is expected to pay a dividend of $ 1 .

Anle Corporation has a current stock price of $ 21.43 and is expected to pay a dividend of $ 1.05 in one year. Its expected stock price right after paying that dividend is $ 23.37.
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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