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The Present Value of Growth Opportunities for a Company with a Leading

Question 38

Multiple Choice

The present value of growth opportunities for a company with a leading EPS of $1.00, a required rate of return of 5%, and a current stock price of $25, is closest to:


A) $1.25.
B) $5.00.
C) $20.00.
D) $25.00.
E) $30.00.

Correct Answer:

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