Nimbus Enterprises has $850,000 in sales. The profit margin is 9.2%, and the firm has 18,500 shares of stock outstanding. The market price per share is $55.75. What is the price-earnings (P/E) ratio?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter3: Evaluation Of Financial Performance
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What is the price earning ratio? General accounting

Nimbus Enterprises has $850,000 in sales. The profit margin is
9.2%, and the firm has 18,500 shares of stock outstanding. The
market price per share is $55.75.
What is the price-earnings (P/E) ratio?
Transcribed Image Text:Nimbus Enterprises has $850,000 in sales. The profit margin is 9.2%, and the firm has 18,500 shares of stock outstanding. The market price per share is $55.75. What is the price-earnings (P/E) ratio?
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