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Suppose furniture manufacture Herman Miller, Inc., has earnings per share of 1,50$. If the average P/E of comparable furniture stocks is 22.4, estimate a

Suppose furniture manufacture Herman Miller, Inc., has earnings per share of 1,50$. If the average P/E of

Suppose furniture manufacture Herman Miller, Inc., has earnings per share of 1,50$. If the average P/E of comparable furniture stocks is 22.4, estimate a value for Herman Miller using the P/E as a valuation multiple. What are the assumption underlying this estimate and why? [2 points]

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