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You have assigned the following values to these three firms: Price Upcoming Dividend Growth Beta US Bancorp $ 54.65 $ 2.95 9.40 % 1.68 Praxair

You have assigned the following values to these three firms:

Price Upcoming Dividend Growth Beta
US Bancorp $ 54.65 $ 2.95 9.40 % 1.68
Praxair 67.90 1.71 11.50 2.43
Eastman Kodak 32.60 1.00 14.50 1.17

Assume that the market portfolio will earn 12.90 percent and the risk-free rate is 5.70 percent.

Compute the required return for each company using both CAPM and the constant-growth model. (Do not round intermediate calculations and round your final answers to 2 decimal places.)

CAPM Constant-growth model
US Bancorp required return % %
Praxair required return % %
Eastman Kodak required return % %

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