A Company Has a Market Value Per Share of $73

question 85

Multiple Choice

A company has a market value per share of $73.00. Its net income is $1,750,000 and the weighted-average number of shares outstanding is 350,000. The company's price-earnings ratio equals:

• A) 20.9.
• B) 4.2.
• C) 14.6.
• D) 20.0.
• E) 6.8.

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Definitions:

Stressful Demands

Situations or events that require significant mental or physical effort to deal with, often leading to stress.

General Adaptation Syndrome

A model describing the body's stress response in three stages: alarm, resistance, and exhaustion, proposed by Hans Selye.

Panic Attacks

Sudden periods of intense fear or discomfort, where four (or more) symptoms develop abruptly and peak rapidly.

General Adaptation Syndrome (GAS)

Selye’s term for the common effects of stressful demands on the body, consisting of three stages: alarm, resistance, and exhaustion.