Question: a https/ #70 Help Save 12 Problem 7-37 P/E Ratios (LO2,4) 10 points Castles in the Sand generates a rate of return of 12% on

a https/ #70 Help Save 12 Problem 7-37 P/E Ratios (LO2,4) 10 points Castles in the Sand generates a rate of return of 12% on its investments and maintains a pos back ratio of 050 ts earn will be S5 per share. Investors expect a rate of return of 10% on the stock s this year a. Find the price and P/E ratio of the fim. (Do not round intermediate calculetions, Round your answers to 2 decimal places) eBook Hint Print Price P/E ratio b. Find the price and P/E ratio of the firm if the plowback ratio is reduced to 0 40 (Do not round intermediate calculations. Round your answers to 2 decimal places) Price PIE ratio Type here to search

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