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Zigzag Corporation's Common Stock Is Selling for $22 Per Share

Question 48

Multiple Choice

Zigzag Corporation's common stock is selling for $22 per share in the market.Zigzag's EPS is expected to be $2 next year,and the required rate of return is 12 percent.What is the present value of growth opportunities per share?


A) $5.33
B) $16.67
C) $20.00
D) $38.67

Correct Answer:

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