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You have assigned the following values to these three firms: Assume that the market portfolio will earn 1 2 . 4 0 percent and the

You have assigned the following values to these three firms:
Assume that the market portfolio will earn 12.40 percent and the risk-free rate is 4.80 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.) You have assigned the following values to these three firms:
Price Upcoming Dividend Growth Beta
US Bancorp $ 41.50 $ 2.559.80%1.76
Praxair 78.801.2816.502.83
Eastman Kodak 34.552.009.501.18
Assume that the market portfolio will earn 12.40 percent and the risk-free rate is 4.80 percent.
Compute the required return for each company using both CAPM and the constant-growth model.
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