Polar Express Corporation Has Just Reported a Net Income of $400,000.It

question 80

Multiple Choice

Polar Express Corporation has just reported a net income of $400,000.It has 250,000 common shares outstanding with a book value of $2 million.The firm always maintain a retention ratio of 25 percent.What is the firm's price-earnings ratio if its required return is 10 percent?

• A) 5
• B) 10
• C) 15
• D) 20

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Definitions:

Co-leadership

A leadership structure in which two or more individuals share the responsibility, authority, and accountability for leading an organization or team.

Leadership Identity Construction

The process by which individuals come to see themselves as leaders, developing their self-concept and leadership style over time.

Trust

The firm belief in the reliability, truth, or ability of someone or something.

Granting

The act of giving or allowing something as a concession or recognition, often used in the context of rights, privileges, or permissions.