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QUESTION 8 1 points Sky Company has the payout policy of retaining 40% of its earnings. The ROE for the company is expected to be

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QUESTION 8 1 points Sky Company has the payout policy of retaining 40% of its earnings. The ROE for the company is expected to be 25%. The equity beta is estimated to be 1.2. The market risk premium and risk free rate are 5% and 10% respectively. The Po/E1 ratio of the company is OA 18 B 10 C.35 0.30 OE 16

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