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Top hedge fund manager Sally Buffit believes that a stock with the same market risk as the SSP 500 wil sell at year-end at a

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Top hedge fund manager Sally Buffit believes that a stock with the same market risk as the SSP 500 wil sell at year-end at a price of \$44. The stock will pay a dividend at year-end of \$200. Assume that visk-free Treasury securities currently offer an interost rate of 1.9%, Average rates of return on Treasury bills, government bonds, and common stocks, 1900-2020 (figures in percent per year) are as follows. a. What is the discount rate on the stock? Note: Entec your answer as a percent rounded to 2 decimal places. b. What nrice should she be willing to pay for the stock todoy? Note: Do not round intermediate calculations. Round your answer to 2 decimal places

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