International Business Machines (IBM) Has Earnings Per Share of $6

question 10

Multiple Choice

International Business Machines (IBM) has earnings per share of $6.85 and a P/E ratio of 15.19. What is the stock price?

• A) $0.45
• B) $2.22
• C) $45.09
• D) $104.05

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Definitions:

Equilibrium Constant

A numerical value that represents the ratio of the concentrations of products to reactants at equilibrium in a chemical reaction.

Products

Substances that are formed as the result of a chemical reaction, located on the right side of a chemical equation.

Reactants

Compounds available at the start of a chemical reaction, which are utilized to form the final products.

Equilibrium Constant

A numerical value that represents the ratio of concentrations of products to reactants at equilibrium in a chemical reaction.