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Task Suppose Husqvama AB will pay a dividend of 3 0 kr per share at the end of this year and 3 kr per share
Task Suppose Husqvama AB will pay a dividend of 3 0 kr per share at the end of this year and 3 kr per share next year You expect Husqvarna's stock price to be 55 kr in two years. If Husqvarna's equity cost of capital is 10%; a.) What price would you be willing to pay for a share of Husqvama stock today. if you planned to hold the stock for two years? The price is kr. (round to two decimais) b.) Suppose instead you plan to hold the stock for one year What price wouid you expect to be able to sell a share of Husqvarna stock for in one year? The price is kr (round to two decimals) c.) Given your answer in part (b), what price would you be willing to pay tor a share of Husqvarna stock today, if you planned to hold the stock for one year? The price is kr. (round to two decimais)
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