Question: ABC ltd Growth rate = 10% Dividend per share (Do) = $3 Return on market portfolio 12% Beta co-efficient 1.5 Calculate expected rate of return

ABC ltd Growth rate = 10%

Dividend per share (Do) = $3

Return on market portfolio 12%

Beta co-efficient 1.5

Calculate expected rate of return as per:

1. CAMP Model

2. Equilibrium price per share by dividend growth model

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