Write an assessment to address the following problems/questions

Write an assessment to address the following problems/questions:

3.     Develop the Capital Asset Pricing Model using the assumptions that the risk free rate is 4%, the expected return on the market is 10% and the relevant beta is 1.25.

4.     Given problem 3, develop the alternative solutions presented within a table for the assumptions that the beta is 1.15, 1.25, and 1.35 as well as the assumption that the risk free rate is 3%, 4% and 5%.

5.     Develop a valuation model for a common stock assuming the most recent dividend per share of the company is $2.0, the assumed growth rate is 5%. The risk free rate is 6% with an expected return on the market of 12% and a beta of 1.5. Show each step in generating the resulting valuation.

6.     Given your analysis in question 5 above, form a able showing all combinations for the model with the growth rate at 3%, 5% and 7% and the beta at 0.5, 1.5 and 2.5.  Explain why the results that you generate are sensible for the pricing the common stock in the market