Question: Forward PE ratio using the Gordon's model can be estimated as _______. Given P0 = current price; E = EPS, g=growth rate, b = plowback

Forward PE ratio using the Gordon's model can be estimated as _______. Given P0 = current price; E = EPS, g=growth rate, b = plowback or retention ratio. A. (1-b)/(r+g) B. (1+b)/(r-g) C. (1-b)/(r-g) D. (1-b)(1+g)/(r -g)

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