这个模拟题是不是出错了？EPS 怎么会 = ROE X BOOK value PS（没说是什么的book value啊）

An analyst gathered the following information for a company whose common stock is currently priced at $40 per share:
2005 2006 2007 2008 2009
Earnings per share ($) 1.16 0.62 1.28 1.60 (1.30)
Book value per share ($) 8.48 8.92 16.04 19.28 16.30
Return on equity (ROE) 14% 7% 8% 8%
A severe cyclical contraction occurred in 2009 for a major segment of the company’s operations. What is the most accurate estimate of the stock's P/E ratio assuming the analyst uses the average ROE method for normalizing the firm's EPS?
A. 26.5
B. 32.8
C. 34.2
Answer: A
“Introduction to Price Multiples,” John D. Stowe, CFA, Thomas R. Robinson, CFA, Jerald E. Pinto, CFA, and Dennis W. McLeavey, CFA 2010 Modular Level I, Vol. 5, pp. 200-202
Study Session 14-59-b
Calculate and interpret P/E, P/BV, P/S, and P/CF.
To normalize the EPS, multiply the current book value per share with the average ROE for the most recent full cycle. Normalized P/E = current market price / normalized EPS.
Average ROE = (14 + 7 + 8 + 8)/4 = 9.25;
Normalized EPS = Normalized ROE x 2009 BVPS = 0.0925 × 16.30 = $1.51
Normalized P/E = $40/1.51 = 26.5.







还有这么一道题，答案不知道对不对 A stock has a beta of 0.9 and an estimated return of 10% . The risk-free rate is 7% , and the expected return on the market is 11%. According to the CAPM , this stock :

A is overvalued
B is undervalued
C is properly valued

CAPM算出来 收益是10.6%，比estimated return 10%多，那不就是预期的低估了嘛？ 答案是A我崩溃了