Why should I choose AnalystNotes?
AnalystNotes specializes in helping candidates pass. Period.
Basic Question 1 of 1
ABC Corp. shares are currently trading at $54.16. If its current earnings are $3.45 and the required rate of return for the stock is 8.9%, which of the following best estimate the stock's present value of growth opportunities (PVGO)?
B. $19.75.
C. $22.47.
A. $15.40.
B. $19.75.
C. $22.47.
User Contributed Comments 0
You need to log in first to add your comment.

I just wanted to share the good news that I passed CFA Level I!!! Thank you for your help - I think the online question bank helped cut the clutter and made a positive difference.

Edward Liu
Learning Outcome Statements
calculate and interpret the justified leading and trailing P/Es using the Gordon growth model;
CFA® 2025 Level II Curriculum, Volume 3, Module 21.