P/E Ratio Model and Future Price Kellogg Co. (K) recently earned a profit of $2.52 earnings per share and has a P/E ratio of 19.86. The divi- dend has been growing at a 5 percent rate over the past few years. If this growth rate continues, what would be the stock price in five years if the P/E ratio remained unchanged? What would the price be if the P/E ratio declined to 15 in five years? (LG7)