You have assigned the following values to these three firms:
Price Upcoming Dividend Growth Beta US Bancorp $ 36.55 $ 1.60 10.00 % 1.80 Praxair 64.75 1.12 11.00 2.40 Eastman Kodak 24.95 1.00 4.50 0.50
Assume that the market portfolio will earn 12.00 percent and the risk-free rate is 3.50 percent.
Compute the required return for each company using both CAPM and the constant-growth model. (Do not round intermediate calculations. Round your final answer to 2 decimal places.)
CAPM Constant-growth model US Bancorp required return % % Praxair required return % % Eastman Kodak required return % %