(Related to Checkpoint 10.2) (Relative valuation of common stock) Using the P/E ratio approach to valuation, calculate the value of a share of stock under the following conditions: - the investor's required rate of return is 13 percent, - the expected level of earnings at the end of this year (E1) is $4, - the firm follows a policy of retaining 50 percent of its earnings, - the return on equity (ROE) is 15 percent, and - similar shares of stock sell at multiples of 9.090 times eamings per share. Now show that you get the same answer using the discounted dividend model