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Fill in the blanks: Heidi Inc. expects to generate earnings over the next five years of P50,000; P55,000; P60,000; P65,000 and P70,000. Using the capitalization earnings, what is the estimated value of the firm using 5% required rate of return?

Fill in the blanks: Heidi Inc. expects to generate earnings over the next five years of P50,000; P55,000; P60,000; P65,000 and P70,000. Using the capitalization earnings, what is the estimated value of the firm using 5% required rate of return?

FINANCIAL ACCOUNTING
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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Fill in the blanks: Heidi Inc. expects to generate earnings over the next five years of P50,000; P55,000; P60,000; P65,000 and P70,000. Using the capitalization earnings, what is the estimated value of the firm using 5% required rate of return? |
Transcribed Image Text:Fill in the blanks: Heidi Inc. expects to generate earnings over the next five years of P50,000; P55,000; P60,000; P65,000 and P70,000. Using the capitalization earnings, what is the estimated value of the firm using 5% required rate of return? |
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