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Company Price Upcoming Dividend Growth Beta xcel energy 45.40 .40 12.70% .95 whirlpool 35.70 .80 7.8% 1.03 Kinder Morgan 8.20 .30 11.05% 1.80 Assume that
Company | Price | Upcoming Dividend | Growth | Beta |
xcel energy | 45.40 | .40 | 12.70% | .95 |
whirlpool | 35.70 | .80 | 7.8% | 1.03 |
Kinder Morgan | 8.20 | .30 | 11.05% | 1.80 |
Assume that the market portfolio will earn 10.00 percent and the risk-free rate is 4.00 percent. Compute the required return for each company using both CAPM and the constant-growth model. (Do not round intermediate calculations and round your final answers to 2 decimal places and do not include a % symbol.)
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