Let's Dream venture is trying to price the value of its equity; however, there is...
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Let's Dream venture is trying to price the value of its equity; however, there is no historical performance, therefore the founder decides to use P/E ratio to find the equity price. Sky venture has been in the same business for a few years. Their stock is priced at $400 apiece and their net income is $200,000. They have 50,000 shares. What should be the stock price for the Let's Dream if their expected earnings per share is $2.5 ? $350. $50. $100. $250. $400. $150
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