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The market requires a return of 9% from XYZ, Inc. The firm plowback 50% of its earnings, and its return on equity and earnings per
The market requires a return of 9% from XYZ, Inc. The firm plowback 50% of its earnings, and its return on equity and earnings per share are expected to be 14% and $7, respectively.
a. What will be XYZ's growth rate? (Input your answer as a nearest whole percent.)
b. Calculate XYZ's P/E ratio? (Do not round intermediate calculations.)
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