Using the beta from the previous problem, and R f 3 , a R mkt 14 compute K s Given D0 $1 00 D 1 1 50, D 2 1 35, D 3 1 75, D 4 2 25, D 5 2 50, D 6 3 00, D 7 3 50, and constant growth 4 thereafter Find P 1 Var 0 0015 0 004821 Weight 0 3 0 7 Cov 0 00255 s 2 0 00356829 b (Beta) 0 528935905 r (rho) 0 948256842

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Question: Using the beta from the previous problem, and R f = 3%, a R mkt = 14% compute K s . Given D0 = $1.00;

Using the beta from the previous problem, and R_f = 3%, a R_mkt = 14% compute K_s. Given D0 = $1.00; D₁ = 1.50, D₂ = 1.35, D₃ = 1.75, D₄ = 2.25, D₅ = 2.50, D₆ = 3.00, D₇ = 3.50, and constant growth 4% thereafter. Find P₁.

	Var	0.0015	0.004821
	Weight	0.3	0.7

Cov	0.00255

s²	0.00356829

b (Beta)	0.528935905

r (rho)	0.948256842

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