the risk-free rate of return is 8%, the expected rate of return on the market portfolio is 13%, and the stock of Xyrong corporation has a beta coefficient of 1.9 Xryong pays out 50% of its earnings in dividends, and the latest earnings announced were $15 per share. Dividends were just paid and are paid annually. You expect Xryong will earn ROE of 20% per year on all reinvested earnings forever.

A. What is the intrinsic value of xryong

B. If the market price per share is currently is $109 and you expect the market price to be equal to the intrinsic value one year from now, calculate the price of a share for one year from now.

B2. What is your expected one-year holding period return on Xyrong stock?