Question: Stability Pty Ltd is a value firm with a stable growth over the years. With the below data, calculate cost of equity (use CAPM) (1

Stability Pty Ltd is a value firm with a stable growth over the years. With the below data, calculate cost of equity (use CAPM) (1 mark) growth rate (2 mark) share price of the firm for the current year: (2 marks) Risk Free Rate: 2.5% Return on Market: 10% Equity Beta: 1.2 Required Return on Equity: 20% Retention Ratio: 40% EPS: $1.77

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