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PROBLEM 2: Use the information for the question 3 Consumer Products, Inc. has a trailing P/E of 27.52, while the median peer group P/E is

PROBLEM 2: Use the information for the question 3

Consumer Products, Inc. has a trailing P/E of 27.52, while the median peer group P/E is 33.25.

Question 3 Assuming that there are no differences in the fundamentals among the peer firms and Consumer Products, the firm is _____. (correctly valued/overvalued/undervalued)

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