Bill, Jim, and Shelly are all interested in buying the same stock that pays dividends. Bill plans on holding the stock for 1 year. Jim plans on holding the stock for 3 years. Shelly plans on holding the stock until she retires in 10years. Which one of the following statements is correct?

• A. Bill will be willing to pay the most for the stock because he will get his money back in 1 year when he sells.
• B. Shelly should be willing to pay the most for the stock because she will hold it the longest and hence will get the most dividends.
• C. All three should be willing to pay the same amount for the stock regardless of their holding period.
• D. None of these