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Leront's, Inc. had earnings per share of 5.25. The company announced that it plows back 60% of its earnings into projects returning 12%. If you
Leront's, Inc. had earnings per share of 5.25. The company announced that it plows back 60% of its earnings into projects returning 12%. If you require a rate of return of 9%, how much are you willing to pay today to purchase one share of Leront's stock?
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To determine the value of one share of Leronts stock we need to calculate the present value of the f...
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Fundamentals of Investment Management
Authors: Geoffrey Hirt, Stanley Block
10th edition
0078034620, 978-0078034626
