Ebay currently has a beta of one additionally the rate of

Reference no: EM13622034

Ebay currently has a beta of one. Additionally, the rate of return in the markethas been .12 historically, and the risk premium is .16. You know that Ebay will grow 800% in the next one year and after that it will rise by 7% forever. If the firm pays a dividend now of $10, what is the market price?

Reference no: EM13622034

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