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A Company Reports the Following

question 149

Essay

A company reports the following:
Net income$270,000
Preferred dividends$10,000
Shares of common stock outstanding20,000
Market price per share of common stock$36.40

?Calculate the company's price-earnings ratio. Round your answer to one decimal place.


Definitions:

Expected Shortfall

A risk measure that estimates the expected loss of a portfolio in the worst-case scenario of a given percentage of times.

Lower Partial Standard Deviation

A measure of the downward variation or downside risk of an asset's returns, focusing only on returns that fall below a minimum threshold or target.

Sharpe Measure

A metric used to assess the performance of an investment by adjusting for its risk.

Excess Returns

Returns earned by an asset that exceed the risk-free rate of return, indicating the additional gain from taking on risk.

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