2. (30 points) Consider a simple asset-pricing model in which there is only one more period remaining in the future. Denote the current period by t and the remaining period by t + 1. Assume that the current and future dividends are non-zero. (a) Take natural logs of the return identity that applies to period t + 1 and express dividend-price ratios in terms of returns and dividend growth. (b) Does the previous expression carry over to multi-period settings? Discuss briefly. (c) If the dividend-price ratio varies, then returns or dividend-growth must be forecastable. Discuss why briefly.