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The required return for the stock of a company is 9%. Its expected ROE is 10% and its expected EPS is $5. The firm's plowback
The required return for the stock of a company is 9%. Its expected ROE is 10% and its expected EPS is $5. The firm's plowback ratio is 40%.
a. Calculate the firm's growth rate. (Input your answer as a nearest whole percent.)
Growth rate %
b. What will be its P/E ratio? (Do not round intermediate calculations.)
P/E ratio
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