Compute the required return for each company using both


You have assigned the following values to these three firms:    

Price   Upcoming Dividend   Growth    Beta     US Bancorp $ 36.55        $ 1.60       10.00  %   1.80     Praxair   64.75          1.12       11.00     2.40     Eastman Kodak   24.95          1.00       4.50     0.50     

Assume that the market portfolio will earn 12.00 percent and the risk-free rate is 3.50 percent.

Compute the required return for each company using both CAPM and the constant-growth model. (Do not round intermediate calculations. Round your final answer to 2 decimal places.)

CAPM Constant-growth model US Bancorp required return %  %    Praxair required return %  %    Eastman Kodak required return %  % 

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Business Economics: Compute the required return for each company using both
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