Question: correct answer? A firm is expected to generate return on equity of 13.5% in the next year. It is expected to generate EPS of $3.09

correct answer? A firm is expected to generate return on equity

correct answer?

A firm is expected to generate return on equity of 13.5% in the next year. It is expected to generate EPS of $3.09 in the next year. It maintains a constant plowback ratio of 40%. If the cost of equity is 10.1%, what is the price of the firm's shares? Select one: a. $26.30 b. $61.80 C. $39.45 d. $92.70

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