the investor's required rate of return is 16 percent, the expected level of earnings at the end of this year (E) is $10, the retention ratio is 45 percent, the return on equity (ROE) is 16 percent (that is, it can earn 16 percent on reinvested earnings), and similar shares of stock sell at multiples of 6.250 times earnings per share. Questions: a. Determine the expected growth rate for dividends. b. Determine the price earnings ratio (P/E). c. What is the stock price using the P/E ratio valuation method? e. Using the dividend discount model, what would be the stock price if the firm could earn 21% on reinvested earnings (ROE)? (Round to the nearest cent.) What would be the P/E ratio (P/E) if the firm could earn 21% on reinvested earnings (ROE)? (Round to three decimal places.) f. What does this tell you about the relationship between the rate the firm can earn on reinvested eamings and P/E ratios? (Select from the drop-down menus.) The higher the ROE, other things being the same, the higher the value of the common stock and