Mathematics, 05.11.2020 23:20, maddie02294

Web Cites Research projects a rate of return of 20% on new projects. Management plans to plow back 30% of all earnings into the firm. Earnings this year will be $3 per share, and investors expect a 12% rate of return on stocks facing the same risks as Web Cites. (LO7-2) a. What is the sustainable growth rate?
b. What is the stock price?
c. What is the present value of growth opportunities?
d. What is the P/E ratio?
e. What would the price and P/E ratio be if the firm paid out all earnings as dividends?
f. What do you conclude about the relationship between growth opportunities and P/E ratios?

Answers: 1

Show answers

Other questions on the subject: Mathematics

Mathematics, 21.06.2019 18:00, lollipopboo

1. what expression would be the same as 6x+x+0 2. find the prime factorization of 60 3. write the expression for 6 + x in words.

Answers: 3

continue

Mathematics, 21.06.2019 18:30, perezsamantha3oqr0za

(05.08a)triangle abc is transformed to similar triangle a′b′c′ below: a coordinate plane is shown. triangle abc has vertices a at 2 comma 6, b at 2 comma 4, and c at 4 comma 4. triangle a prime b prime c prime has vertices a prime at 1 comma 3, b prime at 1 comma 2, and c prime at 2 comma 2. what is the scale factor of dilation? 1 over 2 1 over 3 1 over 4 1 over 5

Answers: 3

continue

Mathematics, 21.06.2019 23:00, thebrain1345

The price of a car has been reduced from $19,000 to $11,590. what is the percentage decrease of the price of the car?

Answers: 1

continue

Mathematics, 22.06.2019 00:10, gamerhunter425

2. (09.01 lc) a function is shown in the table. x g(x) −3 17 −1 −3 0 −4 2 13 which of the following is a true statement for this function? (5 points) the function is increasing from x = −3 to x = −1. the function is increasing from x = −1 to x = 0. the function is decreasing from x = 0 to x = 2. the function is decreasing from x = −3 to x = −1.

Answers: 3

continue

Do you know the correct answer?

Web Cites Research projects a rate of return of 20% on new projects. Management plans to plow back 3...