A risk-free government security yields 7% and the expected market return is 12%. Fogertys beta is 0.8

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A risk-free government security yields 7% and the expected market return is 12%. Fogerty’s beta is 0.8 and its growth rate is 4%. Its last dividend (recently paid) was $2.0. Fogerty’s current price should be:

a. $20.00

b. $38.12

c. $29.71

d. None of the above

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Stock Markets And Corporate Finance A Primer

ISBN: 9781800611474,9781800611498

1st Edition

Authors: Michael Dempsey

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Question Posted: Jul 23, 2024 08:00 AM

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A risk-free government security yields 7% and the expected market return is 12%. Fogertys beta is 0.8

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Stock Markets And Corporate Finance A Primer

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