Find the current interest rate

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In 2014, stock ABC pays $0.80 per share quarterly dividend and the dividend was $0.50 per share in 2008. The growth rate is 5.0%

A. Find the beta for stock ABC.

B. Find the current interest rate on a 6-month treasury bill.

C. For the past 5 years, the stock went from $11,000 to $18,000. Calculate the expected return for stock based on CAPM?

D. Based the closing price of stock ABC on 1/1/14, what is the yield of stock? Is this stock over-priced or underpriced?

Reference no: EM13763820

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