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FINC600 Week 2 Assignment- Homework Problems
Problem 4-10
Under what conditions does r, a stock ' s market capitalization rate, equal its earningsprice ratio EPS1 / P0?
Problem 4-12
What is meant by the " horizon value " of a business? How can it be estimated?
Problem 5-9
Respond to the following comments:
a. " I like the IRR rule. I can use it to rank projects without having to specify a discount rate."