Essentials of Investments (The Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate)
Essentials of Investments (The Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate)
10th Edition
ISBN: 9780077835422
Author: Zvi Bodie Professor, Alex Kane, Alan J. Marcus Professor
Publisher: McGraw-Hill Education
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Chapter 13, Problem 15PS

The risk-free rate of return is 5 % , the required rate of return on the market is 1 0 % , and High-Flyer stock has a beta coefficient of 1 . 5 . If the dividend per share expected during the coming year, D 1 , is $ 2 . 5 0 and =  4 % , at what price should a share sell? LO 13 2

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Essentials of Investments (The Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate)

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