The stock of company A has a beta of 1.2. The market risk premium is 5% and the risk-free rate is 2%. What is the expected return of the market portfolio in CAPM? According to the Capital Asset Pricing Model (CAPM), what is the expected return of this stock? Assuming that the stock has just paid a dividend of $0.5 per share and the dividend growth rate is a constant 5% per year. If you use the expected return implied by the CAPM as the market capitalization rate, what should be the stock price today according to the constant growth model? If next year's expected earnings per share is $2. Based on information from question (3), what is the stock's PVGO