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The current price of Parador Industries stock is $78 per share. Current earnings per share are $5.1, the earnings growth rate is 4 percent, and Parador does not pay a dividend. The expected return on Parador stock is 22 percent.

Required:

Question1. Calculate the earnings per share one-year ahead. Please provide all computation and formulas.

Question2. Calculate the P/E ratio one-year ahead. Please provide all computation and formulas.

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M91145817

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