How do we use the expected rate of return from our


How do we use the Expected Rate of Return from our investment to discount the expected cash flows from our investment to determine the present value (intrinsic value)? Please calculate the fair value of an investment with a dividend payout ratio of 40%, Next Year's dividend expectations of $2.40, growth rate of 3%, Risk-free rate is 2.4%, beta is 0.9 and ERP is 5%. I cannot use excel for the exam, so I'm hoping to learn the solution via calculator.

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Financial Management: How do we use the expected rate of return from our
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