Assume that the risk-free rate on long-term Treasury bonds is 4.5%. Assume also that the average annual return on the Winslow 5000 is not a good estimate of the market's required return - is too high. So use 10% as the expected return on the market. Use the SML equation to calculate the two companies' required returns.

Bartman Industries Reynolds Inc. Winslow 5000 Year 2017 2016 2015 2014 2013 2012 Stock Price Dividend Stock Price Dividend Includes Dividends $17.25 14.75 16.50 10.75 11.37 7.62 $1.15 1.06 1.00 0.95 0.90 0.85 $11,663.98 $48.75 52.30 48.75 57.25 60.00 55.75 $3.00 2.90 2.75 2.50 2.25 2.00 8,785.70 8,679.98 6,434.03 5,602.28 4,705.97 Bartman Industries Reynolds Inc. Winslow 5000 Year 2017 2016 2015 2014 2013 2012 Stock Price Dividend Stock Price Dividend Includes Dividends $17.25 14.75 16.50 10.75 11.37 7.62 $1.15 1.06 1.00 0.95 0.90 0.85 $11,663.98 $48.75 52.30 48.75 57.25 60.00 55.75 $3.00 2.90 2.75 2.50 2.25 2.00 8,785.70 8,679.98 6,434.03 5,602.28 4,705.97