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You are given the three EPS estimates and the following estimates related to the market earnings multiple: a. Based on the three EPS and P/E

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You are given the three EPS estimates and the following estimates related to the market earnings multiple: a. Based on the three EPS and P/E estimates, compute the high, low, and consensus intrinsic market value for the S\&P Industrials Index in 2018. Do not round intermediate calculations. Round your answers to the nearest cent. High intrinsic market value: $ Low intrinsic market value: $ Consensus intrinsic market value: $ b. Assuming that the S\&P Industrials Index at the beginning of the year was priced at 1,900 , compute your estimated rate of return under the three scenarios from Part a. Do not round intermediate calculations. Round your answers to one decimal place. Use a minus sign to enter negative rates of return, if any. Rate of return (optimistic scenario): % Rate of return (pessimistic scenario): % Rate of return (consensus scenario): % Assuming your required rate of return is equal to the consensus, how would you weight the S\&P Industrials Index in your global portfolio? One should the U.S. stocks in a global portfolio. You are given the three EPS estimates and the following estimates related to the market earnings multiple: a. Based on the three EPS and P/E estimates, compute the high, low, and consensus intrinsic market value for the S\&P Industrials Index in 2018. Do not round intermediate calculations. Round your answers to the nearest cent. High intrinsic market value: $ Low intrinsic market value: $ Consensus intrinsic market value: $ b. Assuming that the S\&P Industrials Index at the beginning of the year was priced at 1,900 , compute your estimated rate of return under the three scenarios from Part a. Do not round intermediate calculations. Round your answers to one decimal place. Use a minus sign to enter negative rates of return, if any. Rate of return (optimistic scenario): % Rate of return (pessimistic scenario): % Rate of return (consensus scenario): % Assuming your required rate of return is equal to the consensus, how would you weight the S\&P Industrials Index in your global portfolio? One should the U.S. stocks in a global portfolio

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