Children's Place has a market-to-book ratio of 2.9,net income of $68,400,a book value per share of $37,and 45,000 shares of stock outstanding.What is the price-earnings ratio?
A)24.34
B)28.16
C)55.10
D)63.25
E)70.59

Name: Children's Place has a market-to-book ratio of 2.9,net income of $68,400,a book value per share of $37,and 45,000 shares of stock outstanding.What is the price-earnings ratio? A)24.34 B)28.16 C)55.10 D)63.25 E)70.59
Brand: Quizplus
Rating: 4.7 (34 reviews)

Question

Quizplus · Accepted Answer

Price-earnings ratio = (2.9 × $37)/($68,400/45,000) = 70.59

Children's Place Has a Market-To-Book Ratio of 2