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Peter know the following concerning a common stock:EPS $ 3 . 0 0 Payout ratio 2 5 % P / E 1 0 Return on

Peter know the following concerning a common stock:EPS $3.00 Payout ratio 25%P/E 10 Return on equity 8%.If he want to earn 10 percent, advise him if he should buy this stock?

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