Collins Corporation’s rate of return on reinvested earnings is 22%. The company will have earnings of $4.40 per share this year. If the Market requires a return of 16% for the risks of Collins, what...

Collins Corporation’s rate of return on reinvested earnings is 22%.  The company will have earnings of $4.40 per share this year.  If the Market requires a return of 16% for the risks of Collins, what is the Present Value of Growth Opportunities (PVGO) if the company reinvests 25% of its earnings?

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  None of the above
  
  


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  $6.54
  
  


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  $14.40
  
  


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  $3.93
  
  


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  $10.48