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Expected Nominal de UIRCUIT 3) (2 pts) Stock CC currently sells for $92 a share and is expected to pay $2.00 dividend one year from

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Expected Nominal de UIRCUIT 3) (2 pts) Stock CC currently sells for $92 a share and is expected to pay $2.00 dividend one year from now and $2.50 dividend two years from now and $2.75 dividend three years from now. Stock CC is expected to sell for $111 per share in three years. What is the expected rate of return for Stock CC? az 2.00 2.50 2.75 +117 - 113.75 Expected rate of return for Stock CC = %-3.4% 4) (2 pts) Given the average return on the following Investments over the last 50 years: Large Company Stocks 50 year average = 11.2% Long-term Corporate Bonds 50 year average = 6.2% 11.2 Long term Government Bonds 50 year average = 5.7% US Treasury Bills 50 year average = 3.4% Inflation 50 year average = 2.8% What was the historical risk premium for Large Company Stocks over the last 50 years

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