A firm reports $3,721 million of net operating assets and $560 million of net financial obligations at

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A firm reports $3,721 million of net operating assets and $560 million of net financial obligations at the end of 2008. Its 105 million shares outstanding trade at $53 each. You expect its current core RNOA of 18.6 percent to continue at the same level in the future and also expect net operating assets to grow at 4 percent per year. What rate of return do you expect from investing in this stock?


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