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Firm Djust reported a net income of $8 million. It has 5,400,000 shares of common stock, currently trading at $21 per share. Firm D expects
Firm Djust reported a net income of $8 million. It has 5,400,000 shares of common stock, currently trading at $21 per share. Firm D expects that net income next year will be $13.2 million, and it expects an additional 800,000 shares will be issued. Assuming the P/E ratio remains the same, what will be the stock price of Firm D in one year if all their expectations prove correct? $30.18 $21.00 $34.65 $27.98
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