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3. Using a Residual Income Model (RIM), where residual income grows at rate g s for n=6 years and rate g thereafter, compute the intrinsic
3. Using a Residual Income Model (RIM), where residual income grows at rate g s for n=6 years and rate g thereafter, compute the intrinsic value per share for Acme Inc. given the following information from their most recent financial statement: Item Value B V1 (per share) 11.86 BVO (per share) 12.15 NIO (per share) 3.59 gs 12.38 % g 4.44 % Rcs 11.28 %
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