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What price would you expect for future stock

Problem: The current price of stock corp stock is $26.50 per share. Earnings next year should be $2 per share and it should pay a $1 dividend. The P/E multiple is 15 times an average. What price would you expect for future stock _______

$13.50, $15.00, $26.50, or $30.00

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Finance Basics: What price would you expect for future stock

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Solution Preview :

Prepared by a verified Expert

Finance Basics: What price would you expect for future stock

Reference No:- TGS01452011

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

Q : What is your expected rate of return

Q : Objective of financial reporting is to maximize profits

Q : Apr compounded semi-annually

Q : Annual withdrawal size

Q : What price would you expect for future stock

Q : Equilibrium price of the stock

Q : Objective of maximizing market penetration

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Solution Preview :

Prepared by a verified Expert

Finance Basics: What price would you expect for future stock

Reference No:- TGS01452011

Recent Questions Asked Finance Basics

Q : What is your expected rate of return

Q : Objective of financial reporting is to maximize profits

Q : Apr compounded semi-annually

Q : Annual withdrawal size

Q : What price would you expect for future stock

Q : Equilibrium price of the stock

Q : Objective of maximizing market penetration

Q : Current asset accounts

Q : Market price of preferred stocks

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