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An analyst has gathered the following information for the Oudin Corporation: Expected earnings per share = 5.06 Expected dividends per share = 2.14 Dividends are

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An analyst has gathered the following information for the Oudin Corporation: Expected earnings per share = 5.06 Expected dividends per share = 2.14 Dividends are expected to grow at 2.67 percent per year indefinitely The required rate of return is 7.47 percent Based on the information provided, compute the price/earnings multiple for Oudin (Enter your answer as a number with two decimal places, like this: 12.34) Enterprise value is calculated as the market value of equity minus the market value of debt and preferred stock plus short-term investments. True False For preferred stock with a constant dividend, the investor's time horizon would have no effect on the calculation of intrinsic value. True False

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