The current year profits of Levelex Inc. is 1.000.000 and expected profits for the next year...
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The current year profits of Levelex Inc. is 1.000.000₺ and expected profits for the next year is 1.250.000b. The average profitability of its assets is 22% and the current year dividend per face value of lb is 30%. a) Compute the intrinsic value of a stock of this company for an investor whose minimum required rate of return is 25 %. (10 Points) b) Compute the value of this stock under the same assumptions 2 years later. (10 Points) The current year profits of Levelex Inc. is 1.000.000₺ and expected profits for the next year is 1.250.000b. The average profitability of its assets is 22% and the current year dividend per face value of lb is 30%. a) Compute the intrinsic value of a stock of this company for an investor whose minimum required rate of return is 25 %. (10 Points) b) Compute the value of this stock under the same assumptions 2 years later. (10 Points)
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Related Book For
Cost management a strategic approach
ISBN: 978-0073526942
5th edition
Authors: Edward J. Blocher, David E. Stout, Gary Cokins
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