Save Answer The Peyton Company is expected to pay a dividend (D) of $1.76 at the end of next year. The dividend is expected to grow at a constant rate (g) of 4% in the future. The company's beta is 1.8, the market risk premium is 7.2%, and the risk-free rate is 2.60%. What is the company's current stock price Po? (HINT: use the CAPM to find rs, then use rs in the dividend growth model to find Po.) Enter your answer with 2 decimal places (dollars and cents).

The Peyton Company is expected to pay a dividend (D1) of $1.76 at the end of next year. The dividend is expected to grow at a constant rate (g) of 4% in the future. The company's beta is 18 , the market risk premium is 72%, and the risk-free rate is 2.60%. What is the company's current stock price P0 ? (HINT. use the CAPM to find ifs, then use is in the dividend growth model to find P0 ) Enter your answer with 2 decimal places (dollars and cents)