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Suppose Acap Corporation will a dividend of $2.84 per share at the end if this year and $3.05 per share next year. You expect Acap's
Suppose Acap Corporation will a dividend of $2.84 per share at the end if this year and $3.05 per share next year. You expect Acap's stock price to be $50.45 in 2 years. Assume that Acap's equity cost of capital is 9.4%. a. What price would you be willing to pay for a share of Acap stock today if you held a stock for 2 years? b. Suppose, instead you want to hold a stock for 1 year. For what price would u expect to sell a share of 1 year? c. Given your answer in part b, wat price you want to pay for a share of Acap stock today if u held a stock for one year
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