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Given the following data: Current Price (P 0 ) = $95 Expected Price (P 1 ) = $112 Expected Dividend (D 1 ) = $3

Given the following data:

Current Price (P0) = $95

Expected Price (P1) = $112

Expected Dividend (D1) = $3

Risk free rate (Rf) = 4%

Expected Market Return (Rm) = 13%

Beta = 1.5

Calculate the


  1. Expected return
  2. Required return using Capital Asset Pricing Model (CAPM)
  3. Determine whether a stock is undervalued, overvalued, or properly valued
urgent

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