The current price of Parador Industries stock is $68 per share. Current earnings per share are $3.80,

Question:

The current price of Parador Industries stock is $68 per share. Current earnings per share are $3.80, the earnings growth rate is 7 percent, and Parador does not pay a dividend. The on Parador stock is 13 percent. What one-year ahead P/E ratio is consistent with Parador's and earnings growth rate?

Expected Return
The expected return is the profit or loss an investor anticipates on an investment that has known or anticipated rates of return (RoR). It is calculated by multiplying potential outcomes by the chances of them occurring and then totaling these...