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Svetlanka [38]
3 years ago
10

Today, a firm has a stock price of $14.26 and an EPS of $1.15. Its close competitor has an EPS of $0.48. What would be the expec

ted price of the competitor's stock if estimated using the method of comparables
Business
1 answer:
serg [7]3 years ago
7 0

Answer:

$5.952

Explanation:

For the computation of expected price of the competitor's stock first we need to find out the P/E ratio of a firm which is shown below:-

P/E ratio of a firm = Stock price ÷ Earning per share

= $14.26 ÷ $1.15

= $12.4

Price of competitor's stock = P/E ratio of a firm × Earning per share

= $12.4 × $0.48

= $5.952

Therefore for computing the expected price of the competitor's stock we simply applied the above formula.

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Answer:

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Explanation:

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Hence, from the given statement of the question,

The correct option is B. Economic infrastructure  .

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2 years ago
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Answer:

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3 years ago
For business combinations involving less than 100 percent ownership, the acquirer recognizes and measures all of the following a
Mariana [72]

Answer:

b. Liabilities assumed, at book value.

Explanation:

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3 0
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Which of the following is the correct statement about fixed costs? The fixed cost per unit will decrease when volume increases.
Montano1993 [528]

Answer:

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