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12. Rainbow Co. has earnings of $3.64 per share. The benchmark PE for the company is 18. What stock price would you consider appropriate? What

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12. Rainbow Co. has earnings of $3.64 per share. The benchmark PE for the company is 18. What stock price would you consider appropriate? What if the benchmark PE was 21? 13. Elon, Inc., is a new company and currently has negative earnings. The company's sales are $2.7 million and 175,000 shares are outstanding. If the benchmark price-sales ratio is 4.3 what is your estimate of an appropriate stock price? What if the price-sales ratio were 3.6

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