Multiple Choice
Currently, a firm has a benchmark PE of 11.7 and an EPS of $3.20. Earnings are expected to grow 3.2 percent annually. What is the implicit rate of return?
A) 3.20 percent
B) 2.89 percent
C) 4.08 percent
D) 3.67 percent
E) 4.23 percent
Correct Answer:
Verified
Correct Answer:
Verified
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