Suppose you are thinking of purchasing the stock of moore oil, inc. you expect it to pay a $2 dividend in one year, $2.10 in two years, $2.15 in three years, and you believe that you can sell the stock for $15 at the end of year three. if you require a return of 15% on investments of this risk, what is the maximum you would be willing to pay?
a. $14.6
b. $13.19
c. $13.33
d. $12.15

Scenario: you have advised the owner of bond's gym that the best thing to do would be to raise the price of a monthly membership. the owner wants to know what may happen once this price increase goes into effect. what will most likely occur after the price of a monthly membership increases? check all that apply. current members will pay more per month. the quantity demanded for memberships will decrease. the number of available memberships will increase. the owner will make more money. bond's gym will receive more membership applications.