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Grand Bank is a mature bank, in stable growth. The bank is expected to report net income of $102 million and pay dividends of $88
Grand Bank is a mature bank, in stable growth. The bank is expected to report
net income of $102 million and pay dividends of $88 million next year. If the book value
of equity at the bank is $880 million, and the cost of equity is 9.29%, estimate the value of equity
in the book today = $ _______
(You can assume that ROE and retention ratio don't change)
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