Question: Here are the data on two stocks with a discount rate of 12%: Stock A Stok B Return on Equity 12 % 10 % Earnings

Here are the data on two stocks with a discount rate of 12%:

Stock AStok B
Return on Equity12%10%
Earnings per share$2.60$2.10
dividend per share$1.30$1.30

What is the appropriate stock price for each firm? (Do not round up intermediate calculations. Round your answers to 2 decimal places.)

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