. One of Susans clients has just inherited some stock of a company named Bon Temps, and he asked her to evaluate the stock for him. Use the dividend growth model to find the price of a share of Bon Temps stock. Bon Temps has a beta coefficient of 1.2, the risk-free rate is 7%, and the required rate of return on the market is 12%. Bon Temps is a constant growth firm whose last dividend (D0 ) was $2 and whose dividend is expected to grow at a rate of 6% indefinitely. If Bon Temps were selling for $30.29 what would be its implied rate of return?