Use the Table for the Question(s)below

question 54

Multiple Choice

Use the table for the question(s) below.
David founds a company and goes through the investment rounds shown below:
He decides to take the company public through an IPO,issuing 2 million new shares.Assuming that he successfully completes the IPO,the net income for the next year is estimated to be $8 million.His banker informs him that the price of shares should be set using average price-earnings ratios for similar businesses,which is 15.0.
-What will be the IPO price per share?

• A)$3.40
• B)$20.25
• C)$33.33
• D)$33.75
• E)$60.00

Apply probability principles to real-world scenarios, such as sports, safety measures, and manufacturing processes.

Determine the probability of compound events using basic probability rules.

Use probability to make predictions about outcomes and expectations in specific scenarios.

Interpret the results of probability calculations in the context of the given problem.

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