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A company earned $5 per share in the year that just ended. The company has no more growth opportunities. The company has a 15 percent
A company earned \$5 per share in the year that just ended. The company has no more growth opportunities. The company has a 15 percent return on equity and a 15 percent cost of equity. Do not round intermediate calculations. Round your answers to the nearest cent. a. What is the stock worth today? $ b. What if the company was expected to earn $5.60 next year and then never grow again? Assuming that their return on equity and cost of equity didn't change, what would the stock be worth today? $
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