The risk free rate of return is 3%, the expected return on the market portfolio is 11% and the stock of Xyr Corp has a beta coefcient of 1.2. Kyr pays out 35% of its earnings in dividends and the latest earnings announced were $7.50.! share. Dividends were just paid and are expected to be paid annually. You expect that Xyr will earn an RoE of 19% per year on all reinvested earnings forever. [5 points] a. What is the intrinsic value of a share of Xyr stock? b. If the market price of a share is currently $100. and you expect the market price to be equal to the intrinsic value one year from now. what is your expected oneyear holding period return on Xyr stock