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CVS Health Corp. has an expected earnings retention rate of 6 0 % , a required return of 1 2 % , and an expected

CVS Health Corp. has an expected earnings retention rate of 60%, a required return of 12%, and an expected dividend growth rate of 4%. If you forecast next year's earnings per share (EPS) to be $4, calculate (a) the leading PE ratio and (b) the fair value of CVS.
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