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A firm is expected to generate an EPS of $1.55 over the next year, and this is expected to grow at a constant rate of

A firm is expected to generate an EPS of $1.55 over the next year, and this is expected to grow at a constant rate of 2.4% in perpetuity. It maintains a constant flowback ratio of 45%.

If the cost of equity is 3.7%, what is the present value of growth opportunities?

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