Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ompany A has earnings of $ 3 0 0 , 0 0 0 , growing at 3 % pa . A similar listed company has

ompany A has earnings of $300,000, growing at 3% pa. A similar listed company has an earnings yield of 13.0%. Company B has earnings of $420,500. The same industry similar listed company has a PE ratio of 7. Estimate the value of the A company!

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Finance questions