CorpCo Gathered the Following Information at the End of the Current

question 83

Essay

CorpCo gathered the following information at the end of the current fiscal year:
​ $$\begin{array} { | l | r | } \hline \text { Dividends on common stock } & \$ 125,000 \\\hline \text { Market price per share of common stock } & \$ 115.00 \\\hline \text { Shares of common stock outstanding } & 5,000 \\\hline \text { Dividends on preferred stock } & \$ 65,000 \\\hline \text { Shares of preferred stock outstanding } & 600 \\\hline \text { Earnings per share on common stock } & \$ 102.00 \\\hline \text { Dividends per share of common stock } & \$ 25.00 \\\hline \text { Net income } & \$ 575,000 \\\hline\end{array}$$ ​
What is CorpCo's price-earnings ratio? Round your answer to one decimal place.
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Definitions:

Net Income

The total profit of a company after all expenses and taxes have been subtracted from total revenue.

Variable Costs

Expenses that vary in relation to the amount of product or service produced by a company.

Fixed Costs

Costs that do not change with the level of production or sales, such as rent, salaries, and insurance.

Break-even Point

The point at which total costs and total revenue are equal, meaning there is no net loss or gain.