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1.The Price/Earnings multiple for the typical firm in the construction industry is 17. You are trying to value a new construction company that has earnings

1."The Price/Earnings multiple for the typical firm in the construction industry is 17. You are trying to value a new construction company that has earnings per share of $7.00. Using multiples analysis, your estimate for price per share would be"

2."Assume that Monsanto s last dividend (paid yesterday) was $3.75 per share. You expect dividends to grow at a constant rate of 6.5% per year forever. Investors' required rate of return is 13%. According to the Dividend Discount Model, what should be the price of this stock?"

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