Assume the following the investors required rate of return is $15\%$ the expected level of earnings at the end of this year is eight dollars the retention ratio is $45\%$ the return on equity is $15\%$ this is it can earn $15\%$ on reinvested earnings and similar shares of stock sell at multiples of $6\mathrm{.}666$ times earnings per share questions a determine the expected growth rate for dividends be determine the price earnings ratio see what is the stock price using P$/$E ratio valuation method Andy what is the stock price using dividend discount model