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offering, investment bankers must estimate their value. A few hints: - P0 = (Market Value of Equity) / (Number of Shares Outstanding) - EPS1 =

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offering, investment bankers must estimate their value. A few hints: - P0 = (Market Value of Equity) / (Number of Shares Outstanding) - EPS1 = Earnings 1/ (Number of Shares Outstanding), P/E = P0/EPS1 = (Market Value of Equity) / Earnings 1

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