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Assume That the Current Earnings Per Share of Uschi Ltd $1.44 \$ 1.44

Question 11

Multiple Choice

Assume that the current earnings per share of Uschi Ltd is $0.57.Uschi Ltd is not expected to experience any growth.The company has an estimated cost of capital of 15.75%.What is the PV of Uschi Ltd shares?


A) $1.44 \$ 1.44
B) $3.62 \$ 3.62
C) $4.02 \$ 4.02
D) $4.87 \$ 4.87

Correct Answer:

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