The expected return on the market

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A share of stock sells for $53 today. The beta of the stock is .7, and the expected return on the market is 16 percent. The stock is expected to pay a dividend of $1.00 in one year. If the risk-free rate is 5.2 percent, what should the share price be in one year? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Reference no: EM131073630

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