A company has a net income of $5,250,000. It also has 700,000 weighted-average common shares outstanding and a price-earnings ratio of 18.5. What is the market value per share of this company's stock? a) $0.42 b) $185.00 c) $138.75 d) $2,877.78 e) $3.50

A company has a net income of $5,250,000. It also has 700,000 weighted-average common shares outstanding and a price-earnings ratio of 18.5. What is the market value per share of this company's stock? a) $0.42 b) $185.00 c) $138.75 d) $2,877.78 e) $3.50

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 55E: Rebert Inc. showed the following balances for last year: Reberts net income for last year was...

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Question

Market value per share of this company's stock?

A company has a net income of $5,250,000. It also has 700,000
weighted-average common shares outstanding and a price-earnings
ratio of 18.5.
What is the market value per share of this company's stock?
a) $0.42
b) $185.00
c) $138.75
d) $2,877.78
e) $3.50

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