Using the DDM, calculate the share price of the three companies. To do this you will have to compute the expected return of the market and explain how and why you have done this. You will also need to compute the cost of equity and detail any assumptions you have made.

	BHP AU Equity			FMG AU Equity			RIO AU Equity
	Dividends per Share	Dividends Paid	Dividend Net 5yr Growth Rate	Dividends per Share	Dividends Paid	Dividend Net 5yr Growth Rate	Dividends per Share	Dividends Paid	Dividend Net 5yr Growth Rate
3/09/2014	0.62	-3160	3.3508	0.1	-288	N/A	0.96	-2006	22.7689
3/03/2015	0.62	-3209	6.809	0.03	-274	N/A	1.19	-1704	34.0565
3/09/2015	0.62	-3289	9.2325	0.02	-69	N/A	1.075	-2162	24.1919
3/03/2016	0.16	-3266	12.1954	0.0218	-44	N/A	1.075	-1914	21.6926
5/09/2016	0.14	-864	-16.3203	0.0914	-70	13.3967	0.45	-1916	13.5573
3/03/2017	0.4	-748	-17.2308	0.1513	-284	31.9508	1.25	-809	10.6971
4/09/2017	0.43	-2173	-7.6002	0.1984	-471	41.2617	1.1	-2248	14.5613
5/03/2018	0.55	-2276	-0.8825	0.0851	-610	35.096	1.8	-2002	19.1193
3/09/2018	0.63	-2944	0.3773	0.0862	-264	18.126	1.27	-3177	16.6798
4/03/2019	0.63	-3411	17.8774	0.1349	-270	15.9962	1.8	-2179	16.6798
3/09/2019	0.7	-7984	18.3696	0.1689	-1950	41.6364	1.51	-6843	32.0762

Raw Beta BHP	Raw Beta FMG	Raw Beta RIO
1.31	2.244	0.934
1.698	2.101	1.513
1.149	0.375	0.695
1.567	2.632	1.277
2.165	1.783	1.341
1.74	1.922	1.973
1.266	-0.58	-0.073
1.355	0.252	0.672
1.304	1.154	0.642
1.014	0.426	0.844
1.033	0.131	0.828

0.96 BHP AU Equity FMG AU Equity RIO AU Equity Dividends p Dividends Paid Dividend Net 5yr Growth Rate Dividends p Dividends Paid Dividend Net 5yr Growth Rate Dividends per Share Dividends Paid Dividend Net 5yr Growth Rate Dates EQY_DPS CF_DVD_PAID EQY_DPS_NET_5YR_GROWTH EQY_DPS CF_DVD_PAID EQY_DPS_NET_5YR_GROWTH EQY_DPS CF DVD_PAID EQY_DPS_NET_5YR_GROWTH 3/09/2014 0.62 -3160 3.3508 0.1 -288 N/A -2006 22.7689 3/03/2015 0.62 -3209 6.809 0.03 -274 N/A 1.19 -1704 34.0565 3/09/2015 -3289 9.2325 0.02 -69 N/A 1.075 -2162 24.1919 3/03/2016 0.16 -3266 12.1954 0.0218 -44 N/A 1.075 -1914 21.6926 5/09/2016 0.14 -16.3203 0.0914 -70 13.3967 0.45 -1916 13.5573 3/03/2017 0.4 -748 -17.2308 0.1513 -284 31.9508 -809 10.6971 4/09/2017 0.43 -2173 -7.6002 0.1984 -471 41.2617 1.1 -2248 14.5613 5/03/2018 0.55 -2276 -0.8825 0.0851 -610 35.096 1.8 -2002 19.1193 3/09/2018 0.63 -2944 0.3773 0.0862 -264 18.126 1.27 -3177 16.6798 4/03/2019 0.63 -3411 17.8774 0.1349 -270 15.9962 1.8 -2179 16.6798 3/09/2019 0.7 -7984 18.3696 0.1689 -1950 41.6364 1.51 -6843 32.0762 -864 1.25 Raw Beta BHP Raw Beta FMG Raw Beta RIO 1.31 2.244 0.934 1.698 2.101 1.513 1.149 0.375 0.695 1.567 2.632 1.277 2.165 1.783 1.341 1.74 1.922 1.973 1.266 -0.58 -0.073 1.355 0.252 0.672 1.304 1.154 0.642 1.014 0.426 0.844 1.033 0.131 0.828 0.96 BHP AU Equity FMG AU Equity RIO AU Equity Dividends p Dividends Paid Dividend Net 5yr Growth Rate Dividends p Dividends Paid Dividend Net 5yr Growth Rate Dividends per Share Dividends Paid Dividend Net 5yr Growth Rate Dates EQY_DPS CF_DVD_PAID EQY_DPS_NET_5YR_GROWTH EQY_DPS CF_DVD_PAID EQY_DPS_NET_5YR_GROWTH EQY_DPS CF DVD_PAID EQY_DPS_NET_5YR_GROWTH 3/09/2014 0.62 -3160 3.3508 0.1 -288 N/A -2006 22.7689 3/03/2015 0.62 -3209 6.809 0.03 -274 N/A 1.19 -1704 34.0565 3/09/2015 -3289 9.2325 0.02 -69 N/A 1.075 -2162 24.1919 3/03/2016 0.16 -3266 12.1954 0.0218 -44 N/A 1.075 -1914 21.6926 5/09/2016 0.14 -16.3203 0.0914 -70 13.3967 0.45 -1916 13.5573 3/03/2017 0.4 -748 -17.2308 0.1513 -284 31.9508 -809 10.6971 4/09/2017 0.43 -2173 -7.6002 0.1984 -471 41.2617 1.1 -2248 14.5613 5/03/2018 0.55 -2276 -0.8825 0.0851 -610 35.096 1.8 -2002 19.1193 3/09/2018 0.63 -2944 0.3773 0.0862 -264 18.126 1.27 -3177 16.6798 4/03/2019 0.63 -3411 17.8774 0.1349 -270 15.9962 1.8 -2179 16.6798 3/09/2019 0.7 -7984 18.3696 0.1689 -1950 41.6364 1.51 -6843 32.0762 -864 1.25 Raw Beta BHP Raw Beta FMG Raw Beta RIO 1.31 2.244 0.934 1.698 2.101 1.513 1.149 0.375 0.695 1.567 2.632 1.277 2.165 1.783 1.341 1.74 1.922 1.973 1.266 -0.58 -0.073 1.355 0.252 0.672 1.304 1.154 0.642 1.014 0.426 0.844 1.033 0.131 0.828