Share of stock with beta, A share of stock with a beta of

Share of stock with beta

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Reference no: EM131187913

A share of stock with a beta of .82 now sells for $57. Investors expect the stock to pay year-end dividend of $2. the T-bill rate is 5%, and the market risk premium is 8%. If the stock is perceived to be fairly priced today, what must be investors' expectation of the price at the end of the year? (Do not round intermediate calculations. Round your answer to 3 decimal places)

Reference no: EM131187913

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