USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)

question 129

Multiple Choice

USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
The Valentine Company currently has a 14 percent annual growth rate, while the market average is 4 percent. The market multiple is 15.
-Refer to Exhibit 9.13. Determine the P/E ratio for the Valentine Company assuming Valentine can maintain its superior growth rate for the next five years.

• A) 23.7
• B) 16.4
• C) 15.3
• D) 8.3
• E) 3.8

---

Definitions:

Affirmative Action

Policies and practices within organizations aimed at increasing opportunities for historically marginalized groups by taking factors like race, color, religion, gender, or national origin into consideration.

Strict Scrutiny

The most rigorous form of judicial review that requires a law to be necessary to achieve a compelling governmental interest and to be narrowly tailored to achieve that interest.

Racial Minorities

Groups of individuals characterized by their distinct racial identity who are fewer in numbers compared to the larger population.

Supreme Court

The highest federal court in the United States, with ultimate appellate authority and the power to adjudicate on constitutional matters.