Business
Business, 09.04.2020 16:26, enrique2211

Suppose Acap Corporation will pay a dividend of $ 2.80 per share at the end of this year and $ 3.00 per share next year. You expect Acap's stock price to be $ 52.00 in two years. Assume that Acap's equity cost of capital is 10.0 %.

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?

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Answers: 3

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Suppose Acap Corporation will pay a dividend of $ 2.80 per share at the end of this year and $ 3.00...

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