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Liquidators Inc. currently has a book value of equity per share equal to $10. The company is expected to have ROE of 44% and reinvest
Liquidators Inc. currently has a book value of equity per share equal to $10. The company is expected to have ROE of 44% and reinvest 100% of its earnings every year for the next 2 years. According to analysts' forecasts, Liquidators Inc. will be liquidated at the end of year 2 with a liquidation value equal to the book value of equity per share at the end of year 2. The required rate of return on the company's equity is equal to 20%. What is Liquidators Inc.'s intrinsic value per share equal to
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