Calculate the intrinsic value of common stock for abc at, Financial Management

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Calculate the intrinsic value of common stock for abc at

Calculate the intrinsic value of common stock for ABC at January 1, year 1 given the following: Book Value $50, Predicted earnings per share year 1 through 5:$10,$8,$12,$15 and $10 respectively. Cost of capital: 10%. Years 6 and after no residual income is expected. No dividends. If it were trading at $80 per share would you buy this stock?

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