Question
Stocks are trading at 16.5X earnings. You expect earnings to grow 4.25% per year over the next five years. At the end of five years,
Stocks are trading at 16.5X earnings. You expect earnings to grow 4.25% per year over the next five years. At the end of five years, you expect stocks to be trading at 15X earnings. The dividend yield should be 2.05% per year. If you invest in stocks, what will your compound annual growth rate be?
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Small Business Management Launching and Growing New Ventures
Authors: Justin Longenecker, Leo Donlevy, Terri Champion, William Petty, Leslie Palich, Frank Hoy
6th Canadian edition
176532218, 978-0176532215
