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Ace Ventura, Inc. has expected earnings of $5 per share for next year. The firm's ROE is 15% and its dividend payout ratio is 60%.
Ace Ventura, Inc. has expected earnings of $5 per share for next year. The firm's ROE is 15% and its dividend payout ratio is 60%. Assume a discount rate of 10%. What is the no-growth value component of the stock?
Question 2 options:
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$25
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$100
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$75
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$50
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