The risk-free rate of return of a firm is 8%. The expected rate of return on market portfolio is 14%. The expected growth rate of dividend of the firm is 7%. The latest dividend paid amounted to Rs 2...

The risk-free rate of return of a firm is 8%. The expected rate of return on market portfolio is 14%. The expected growth rate of dividend of the firm is 7%. The latest dividend paid amounted to Rs 2 per share. The beta of the firm’s equity stock is 1.2. Find out the equilibrium price of the firm’s equity share.