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Suppose Acap Corporation will pay a dividend of $2.85 per share at the end of this year, and $ 3.04 per share next year. You
Suppose Acap Corporation will pay a dividend of $2.85 per share at the end of this year, and \$ 3.04 per share next year. You expect Acap's stock price to be \$53.52 in two years. If Acap's equity cost of capital is 9.7%, what price would you be willing to pay for a share of Acap stock today, if you planned to hold the stock for two years? 49.60 42.63 51.56 39.15
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