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Metatrends stock will generate earnings of $5 per share this year. Investor's required rate of return is 15% and the rate of return on reinvested
Metatrends stock will generate earnings of $5 per share this year. Investor's required rate of return is 15% and the rate of return on reinvested earnings is 20%. What will be the price of the stock if the company reinvests 60% of its earnings in the firm? PLEASE SHOW YOUR WORK
A. $18.18
B.33.33
C.42.86
D.66.67
E.166.67
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