Question: ABC Corp will earn $5.00 per share this year. The company plows back 40% of its earnings into projects yielding 20%. Investors require a rate

ABC Corp will earn $5.00 per share this year. The company plows back 40% of its earnings into projects yielding 20%. Investors require a rate of return of 12%. What price will they pay for the stock? What is the PVGO and trailing P/E?

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