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fou have been reading about the Madison Computer Compony (MCC), which currently retains 88 percent of its earnings ($6 a shace this year). it earns

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fou have been reading about the Madison Computer Compony (MCC), which currently retains 88 percent of its earnings (\$6 a shace this year). it earns an ROE of almost JJ percent. 0. Assuming a required rate of return of 14 percent, how much would wou pay for MCC on the basis of the earnings multplier model? Do not rbund intermedlate calculations. Round your answer to the nearest cent. Enter zero if the obtained answer is economically meaningless. 1 b. What would you pay for Madison Computen if its retention rate was 59 percent and its RoE was 18 percent? Do not round intermediate caloulationt. ilaund youir aniwer to. the nearest cent. Enter zero if the obtained answer is economicaly meaningless

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