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2. Answer the following questions regarding the equity valuation methods. a. What value can the Price/Earnings ratio provides to financial managers that the Dividend Discount

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2. Answer the following questions regarding the equity valuation methods. a. What value can the Price/Earnings ratio provides to financial managers that the Dividend Discount Models (DDM) cannot? (15%) b. What value can the Price Sales ratio provides to financial managers that the Price/Earnings ratio cannot? (10%)

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