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EPS next year is expected to be $5.50 for WIL, Inc. WILs dividend payout ratio is 60% and its dividend growth rate is expected to

EPS next year is expected to be $5.50 for WIL, Inc. WILs dividend payout ratio is 60% and its dividend growth rate is expected to be 7.6%. WILs price-earnings ratio is 16.50

  1. Compute WILs stock price.

  1. Compute WILs required rate of return (market capitalization rate).

  1. What is the value of WILs PVGO?

  1. Would you recommend that WIL increase, decrease, or leave unchanged its plowback ratio? Explain.

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