Assume that ABC Corp. will elect for four directors this year, and ABC 's shareholder include ABC Holdings. Co, which has 74% of shares, John Doe, who has 21% of shares, and James Hoffa, who has 5% of shares. ABC Corp. will elect the new director based on cumulative voting. Currently, John Doe is planning to use all of his votes to vote for Jane Erickson, who Doe believes will best represent his interests as a shareholder. Hoffa is currently planning to vote for Willy Bulger, who Hoffa believes will best represent his interests. Recently, Doe and Hoffa began talking about the possibility where they will both pledge all of their votes to Henry Hill, a compromise candidate who they thought could represent both of their interest to some extent. Which of the following most accurately describes a possible outcome of this election? If Doe votes for Erickson and Hoffa votes for Bulger, then Bulger will not be elected but Erickson will be elected as a director. If Doe votes for Erickson and Hoffa votes for Bulger, then Erickson will not be elected but Bulger will be elected as a director. Doe and Hoffa will be able to elect Harry Hill, the compromise candidate, as one of the new directors only if they both pledge all of their votes to Hill. Neither Doe nor Hoffa will be able to elect any director for the firm even if they both pledge all of their votes to Harry Hill, the compromise candidate. Question 19 2.5 pts Assume WXYZ Corp.'s dividend payment will be $3.96 one year from now, $4.16 two years from now, and $6.56 three years from now. Further assume that after these three years, the dividend will grow by 6.12% each year. If the required rate of return for the industry WXYZ Corp. belongs to is 12.54%, what is the market value of WXYZ Corp.'s stock under the Dividend Discount Model? Question 20 2.5 pts Assume ABC Corp. pays the dividend of $5.70 this year. For the next 30 years, the firm's dividend will grow by 5.6%, then it will grow by 5.1% each year afterwards. The required rate of return for the firm's industry is 11.3%. What is the present value of the firm's stock under the Dividend Discount Model? \begin{tabular}{c} $103.75 \\ \hline$98.12 \\ \hline$114.92 \\ \hline$105.84 \end{tabular}.

1. Assume that ABC Corp. will elect for four directors this year, and ABC 's shareholder include
ABC Holdings. Co, which has 74% of shares, John Doe, who has 21% of shares, and James
Hoffa, who has 5% of shares. ABC Corp. will elect the new director based on cumulative voting.
Currently, John Doe is planning to use all of his votes to vote for Jane Erickson, who Doe
believes will best represent his interests as a shareholder. Hoffa is currently planning to vote for
Willy Bulger, who Hoffa believes will best represent his interests. Recently, Doe and Hoffa
began talking about the possibility where they will both pledge all of their votes to Henry Hill, a
compromise candidate who they thought could represent both of their interest to some extent.
Which of the following most accurately describes a possible outcome of this election? If Doe
votes for Erickson and Hoffa votes for Bulger, then Bulger will not be elected but Erickson will
be elected as a director. If Doe votes for Erickson and Hoffa votes for Bulger, then Erickson will
not be elected but Bulger will be elected as a director. Doe and Hoffa will be able to elect Harry
Hill, the compromise candidate, as one of the new directors only if they both pledge all of their
votes to Hill. Neither Doe nor Hoffa will be able to elect any director for the firm even if they
both pledge all of their votes to Harry Hill, the compromise candidate. Question 19 2.5 pts
Assume WXYZ Corp.'s dividend payment will be $3.96 one year from now, $4.16 two years
from now, and $6.56 three years from now. Further assume that after these three years, the
dividend will grow by 6.12% each year. If the required rate of return for the industry WXYZ
Corp. belongs to is 12.54%, what is the market value of WXYZ Corp.'s stock under the Dividend
Discount Model? Question 20 2.5 pts Assume ABC Corp. pays the dividend of $5.70 this year.
For the next 30 years, the firm's dividend will grow by 5.6%, then it will grow by 5.1% each year
afterwards. The required rate of return for the firm's industry is 11.3%. What is the present value
of the firm's stock under the Dividend Discount Model? begin{tabular}{c} $103.75
hline$98.12 hline$114.92 hline$105.84 end{tabular}