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Given the following information, calculate the required rate of return for Chicago Bears Inc.: beta = 0.9; Estimated Market Risk Premium (RP.mkt) = 11.5%;
Given the following information, calculate the required rate of return for Chicago Bears Inc.: beta = 0.9; Estimated Market Risk Premium (RP.mkt) = 11.5%; Estimated Risk Free Return (Rf) = 4%; Dividend at "t=1" = $2.00; Price at "t=0" = $32.00. Assume the stock is in equilibrium and exhibits constant growth.
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GIVEN Beta b 09 Market Risk Premium rp 115 ...
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Corporate Finance A Focused Approach
Authors: Michael C. Ehrhardt, Eugene F. Brigham
6th edition
1305637100, 978-1305637108
