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I need help understanding the intuition and how to calculate the following in this problem: EXERCISE #1: The market consensus is that Analog Electronic Corporation

I need help understanding the intuition and how to calculate the following in this problem:

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EXERCISE #1: The market consensus is that Analog Electronic Corporation has an ROE = 10% and a beta of 1.2. It plans to maintain indefinitely its traditional plowback ratio of 2/3. This year's earnings were $3 per share. The annual dividend was just paid. The consensus estimate of the coming year's market return is 14%, and T-bills currently offer a 6% return. A. Use the CAPM to get the cost of equity: rE = B. Using the plowback info, the current dividend: D0 = C. The growth rate of dividends is: g = D. Next year's dividend is D1 = E. The price of the stock is: P0 = F. The current PolEo ratio is ............... and the fonNard Po/E1 ratio is ..................... G. The PVGO is Po E1 I n; =

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