General accounting Apple has EPS of $6.00, P/E of 25, and 6% growth rate.Calculate:1. Stock price in 5 years if P/E stays 252. Price if P/E drops to 18

Step 1: Definition of Earnings Per Share (EPS)Earnings Per Share (EPS) is a measure of a company's…

Answered: Apple has EPS of $6.00, P/E of 25, and…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Apple has EPS of $6.00, P/E of 25, and 6% growth rate. Calculate: 1. Stock price in 5 years if P/E stays 25 2. Price if P/E drops to 18