Compute the eps-roe-price and growth rate

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We want to compute the EPS, ROE, price and growth rate of Bob & Co. It has 1 m shares outstanding and $75m of book value of equity. Bob & Co. expects to sell $20m worth of sales and keeps 10% of its profit. Its profit from operations is $7 million. Furthermore, it has $100m of assets, and its interest is $2 million. Its coe is .12 and its beta is 1.2. Calculate Bob & Co’s price.

Reference no: EM13766779

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