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You have assigned the following values to these three firms: Price Upcoming Dividend Growth Beta US Bancorp $ 29.50 $ 2.60 6.40 % 1.83 Praxair

You have assigned the following values to these three firms:

Price Upcoming Dividend Growth Beta
US Bancorp $ 29.50 $ 2.60 6.40 % 1.83
Praxair 66.75 1.48 14.00 1.62
Eastman Kodak 44.30 1.00 5.80 0.85

Assume that the market portfolio will earn 11.20 percent and the risk-free rate is 3.00 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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