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A company expects to earn $ 5 per share next year. The firm's ROE is 2 5 % and its plowback ratio is 8 0

A company expects to earn $

5

per share next year. The firm's ROE is

25 %

and its plowback ratio is

80 % .

If the firm's market capitalization rate is

10 %,

what is the present value of its growth opportunities?

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