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The Perfect Rose Co. has earnings of $1.95 per share. The benchmark PE for the company is 12. a. What stock price would you consider appropriate? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What if the benchmark PE were 15? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

The Perfect Rose Co. has earnings of $1.95 per share. The benchmark PE for the company is 12. a. What stock price would you consider appropriate? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What if the benchmark PE were 15? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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The Perfect Rose Co. has earnings of $1.95 per share. The benchmark PE for the company is 12. a. What stock price would you consider appropriate? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What if the benchmark PE were 15? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) а. Stock price at a PE of 12 b. Stock price at a PE of 15
Transcribed Image Text:The Perfect Rose Co. has earnings of $1.95 per share. The benchmark PE for the company is 12. a. What stock price would you consider appropriate? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. What if the benchmark PE were 15? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) а. Stock price at a PE of 12 b. Stock price at a PE of 15
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