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Required: a. MF Corporation has an ROE of 15% and a plowback ratio of 40%. If the coming year's earnings are expected to be $3

image text in transcribed Required: a. MF Corporation has an ROE of 15% and a plowback ratio of 40%. If the coming year's earnings are expected to be $3 per share, at what price will the stock sell? The market capitalization rate is 12\%. (Do not round intermediate calculations. Round your answer to 2 decimal places.) b. What price do you expect MF shares to sell for in three years? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

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