If a Company's Stock Currently Sells in the Marketplace for $55

question 40

Multiple Choice

If a company's stock currently sells in the marketplace for $55 per share, and the book value of this stock is $25 per share, what is the Price Earnings ratio if the Earnings per Share is $3.00?

• A) 0.12
• B) 0.05
• C) 8.33
• D) 18.33

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