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What rate of return do tango investors

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Reference no: EM132399262

Tango, Corp. expects to have an earnings per share of $3. The company will be paying out 40% of that earnings to its shareholders, with the rest retained in the company for future growth at rate of 20% each year. The share price of the company's stock is currently at $15.

What rate of return do Tango's investors require if its stock's intrinsic value has been reflected in the market price?

Reference no: EM132399262

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