Question: Question content area top Part 1 Laurel Enterprises expects earnings next year of $ per share and has a retention rate, which it plans to

Question content area top Part 1 Laurel Enterprises expects earnings next year of $ per share and has a retention rate, which it plans to keep constant. Its equity cost of capital is , which is also its expected return on new investment. Its earnings are expected to grow forever at a rate of per year. If its next dividend is due in one year, what do you estimate the firm's current stock price to be?

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