What capm cost of equity and dividend discount model cost

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Stock in CDB Industries has a beta of .92. The market risk premium is 7.2 percent, and T-bills are currently yielding 4.2 percent. The most recent dividend was $2.10 per share, and dividends are expected to grow at an annual rate of 5.2 percent indefinitely. The stock sells for $43 per share.

Question 1: What is Capm cost of equity? dividend discount model cost of equity? best estimate of cost of equity?

Reference no: EM132505228

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