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Mulligan Manufacturing (MM) is a relatively risky, high-growth firm with a P0/E1 ratio of 84 and a (beta) of 2.8. MM currently sells for $212/share.

Mulligan Manufacturing (MM) is a relatively risky, high-growth firm with a P0/E1 ratio of 84 and a (beta) of 2.8. MM currently sells for $212/share. Treasury bills have an expected return of 2% (risk-free rate) and the S&P 500 has an expected return of 9% (market return). What is MMs implied growth rate? What is MMs present value of growth opportunities (PVGO)?

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