Consider the following financial information for Toyota Motor Corporation stock. What is Toyota's price-to-earnings ratio?
Toyota Motor Corporation
Stock price per share: $136.28
Earnings per share: $12.29
Price-to-book ratio: 1.0658

Question

Quizplus · Accepted Answer

To calculate the price-to-earnings ratio, we divide the stock price per share by the earnings per share.

Price-to-earnings ratio = Stock price per share / Earnings per share 
Price-to-earnings ratio = $136.28 / $12.29 
Price-to-earnings ratio = 11.09

Therefore, the answer is B, 11.09.

Consider the Following Financial Information for Toyota Motor Corporation Stock