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Question 2: Assume that a firm has earnings per share of $6.00 (next period), has a retention ratio of % (which also means they have

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Question 2: Assume that a firm has earnings per share of $6.00 (next period), has a retention ratio of % (which also means they have a payout ratio of %. The retention ratio is equal to 1 - payout ratio), faces an equity discount rate of 15% and a return on equity of 18%. What is the appropriate estimate of the firm's price

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