Exercise You purchase a common share and estimate you will receive annual dividends of $1.25 in one year. You also estimate that after one year you will be able to sell it for $11.75. Estimate the price you would pay for this dividend today if you required a 10-percent return on investment a Exercise Compute the price of a common share that is expected to pay a dividend of S0.50 in year 1, $1.25 in year 2, and $0.75 in year 3. The share is expected to have a value of $14 at the end of year 3. Use a required rate of return of 8 percent