The Following Information Relates to Conejo Corporation for Last Year

question 280

Multiple Choice

The following information relates to Conejo Corporation for last year: What is Conejo's price-earnings ratio for last year?

• A) 1.6
• B) 2.4
• C) 8.0
• D) 2.0

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Definitions:

Freight In

The cost of transporting goods into a business, usually included in the cost of inventory.

Freight In Account

An accounting term used to describe the costs associated with transporting goods into a business, typically included as part of inventory costs.

Merchandise Purchased

Represents the total cost of goods bought for resale during a specific accounting period.