ps28 1
A stock just paid a dividend of $1.64. The dividend is expected to grow at 26.97% for two years and then grow at 3.79% thereafter. The required return on the stock is 10.75%. What is the value of the stock?
A stock has an expected return of 13.00%. The risk-free rate is 1.45% and the market risk premium is 7.30%. What is the β of the stock?