1. On a particular date, FedEx has a stock price of $88.66 and an EPS of $6.34. Its competitor, UPS, had an EPS of $0.40. What would be the expected price of UPS stock on this date, if estimated using the method of comparables?
options: A) $5.59 B) $8.39 C) $10.49 D) $13.98
2. Suppose that a stock gave a realized return of 20% per year over a two-year time period and a 10% return over the third year. The geometric average annual return is:
options: A) 9.70% B) 11.20% C) 14.96% D) 16.55%
3.Conundrum Mining is expected to generate $12 million, $18 million, $22 million and $26 million in free cash flows over the next four years, after which they are expected to grow at a rate of 5% per year. If the weighted average cost of capital is 12% and Conundrum has cash of $80 million, debt of $60 million, and 30 million shares outstanding, what is Conundrum's expected current share price?
options: A)$10.84 B)$13.72 C)$16.16 D)$16.2