Can any one explain me how stock undervalution/valuation is deteremined and most importantly how beta was calculated.There is a beta after undervalue and overvalue highlighted.Please explain clearly the formula used and elsewhere.Link to question:https://www.chegg.com/homework-help/questions-and-answers/using-stocks-initial-portfolio-prepare-valuation-stock-initial-portfolio-using-zero-consta-q17359701

	Price				market returns	8%	12%
Price	(Initial Investment)							D1/ke-g		8%	12%	8%	12%
Stock	9/9/2016		Number of shares	Total Investment	Portfolio Allocation	Return	dividend	expected	undervalued/	Beta	Beta	Capm Returns	Capm Returns
		11-03-16						price	overvalued
Activision Blizzard	42.79	43.37	3,000	128,370	13%	1.36%	4.279	32.87538	overvalued	0.17	0.11	5%	4%
Capital One	72.02	72.32	4,000	288,080	29%	0.42%	7.202	55.36	overvalued	0.05	0.03	4%	4%
Exxon Mobil	93.35	83.66	2,000	186,700	19%	-10.38%	9.335	71.76769	overvalued	-1.30	-0.87	-1%	1%
Starbucks	54	53	3,000	162,000	16%	-1.85%	5.4	41.49846	overvalued	-0.23	-0.15	3%	3%
EBay	32.42	28.06	4,000	129,680	13%	-13.45%	3.242	24.89846	overvalued	-1.68	-1.12	-3%	0%
Total Investment				894,830	90%
Cash Position				105,170	10%
Total Amount				1,000,000
d1	expected divided	assuming	10%
ke	cost of equity	assuming	13%
g	growth rate	assuming	4%
capm
Rf	4%	assuming
Rm	8%	given
beta	individually	if stock return was ___% in given period
		if market return was 8%