Shares of Lorne and Greene Manufacturing now sell for $64. If the company had earnings per share of $3.70 last year, calculate the price-earnings ratio of the stock. (Round to nearest whole number)
A) 51:1
B) 23:1
C) 25:1
D) 17:1
D
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The ability to speak at least one other foreign language is one difference between managers born and raised in the United States and those born and raised elsewhere
Indicate whether the statement is true or false
Purchased intangible assets are generally expensed at their acquisition costs because the future economic benefits associate with them are difficult to measure
Indicate whether the statement is true or false
A low-cost leader's basis for competitive advantage is
A. higher unit sales than rivals. B. high buyer switching costs. C. a low-cost/moderate price approach to gain the biggest market share. D. lowest possible prices for comparable products. E. meaningful lower overall costs than rivals on comparable products.
Anacott Steel is acquiring Terafly Incorporated. Terafly is expected to provide Anacott with operating cash flows of $12, $21, $16, and $9 million over the next four years, respectively. In addition, the horizon value of all remaining cash flows at the end of Year 4 is estimated at $18 million. The merger will cost Anacott $47 million today. If the value of the merger is estimated at $8.00 per share and Anacott has 1,000,000 shares outstanding, what equity discount rate must the firm be using to value this acquisition?
A. 11.88% B. 10.22% C. 14.31% D. 12.77% E. 12.65%