Question: The risk free rate =4.5%; the expected return on the market is 12% for the next year. A stock is currently trading at $100 and

The risk free rate =4.5%; the expected return on the market is 12% for the next year. A stock is currently trading at $100 and is expected to pay a dividend of $6.00 at year end. The stock's beta is 1. Using SML [of the CAPM framework] what must investors expect the stock to sell for at the end of the year

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