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Given that a companys return on equity is 12% and management has plans to retain 15% of earnings for investment purposes, (a) Calculate the companys

Given that a companys return on equity is 12% and management has plans to retain 15% of earnings for investment purposes, (a) Calculate the companys growth rate of future earnings. (b) If the company expects its end-of-year dividend to be $2.80, and the required rate of return is 11%, what is the value of the firms shares?

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