The earnings are expected to grow at 10 for 1 year and then


Smooth plains just announced its EPS of 4$, with a retention ratio of 0.3. The earnings are expected to grow at 10% for 1 year and then 4% indefinitely. Given that the required rate=13%. What is the market price?

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Business Economics: The earnings are expected to grow at 10 for 1 year and then
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