Rocky Mountain Depot just announced its EPS of $4.50. Retention ratio (b) = 0.6. The earnings are

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Rocky Mountain Depot just announced its EPS of $4.50. Retention ratio (b) = 0.6. The earnings are expected to grow at 10 percent for one year and then at 5 percent indefinitely. Given that Ke = 17%, what is the market price?

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Introduction To Corporate Finance

ISBN: 9781118300763

3rd Edition

Authors: Laurence Booth, Sean Cleary

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