Question
The current book value per share of B.L. Black & Sons is $5.35 and the required return on the stock is 15.5 percent. The firm
The current book value per share of B.L. Black & Sons is $5.35 and the required return on the stock is 15.5 percent. The firm expects earnings per share of $2.25 next year with annual earnings growth of 4.5 percent. What is the current market value of this stock?
| A. | $9.16 | ||
| B. | $10.91 | ||
| C. | 13.88 | ||
| D. |
| ||
| E. | $20.30 |
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Personal Finance
Authors: Richard Stanton
2nd Edition
1519662106, 978-1519662101
