Beta and Stock Valuation. The risk-free rate is 6 percent, the required rate of return on the market is 12 percent, and stock A has a beta coefficient of 1.2. If the dividend expected during the...

Beta and Stock Valuation. The risk-free rate is 6 percent, the required rate of return on the market is 12 percent, and stock A has a beta coefficient of 1.2. If the dividend expected during the coming year is $2 and the growth rate of dividends and earnings is 7 percent, at what price should stock A sell?