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QUESTION 6 A company can generate an ROE of 12% and has an earnings retention ratio of 0.75. Next years earnings are projected at $200
QUESTION 6
A company can generate an ROE of 12% and has an earnings retention ratio of 0.75. Next years earnings are projected at $200 million. If the required rate of return for the company is 12%, what is the companys tangible PE value, franchise factor, growth factor, franchise PE value, and intrinsic PE value?
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