A Company Reports the Following Determine the Company's Price-Earnings Ratio

question 31

Essay

A company reports the following:
$\begin{array}{lr}\text {Net income }&\$270,000\\\text {Preferred dividends }&\$10,000\\\text {Share s of common stock out standing }&20,000\\\text { Market price per share of common stock }&\$36.40\end{array}$

Determine the company's price-earnings ratio.Round your answer to one decimal place.

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