The latest financial statement from Dynamo Analytics reveals a total equity of R100 000 000, with 5 000 000 ordinary shares outstanding. The market value of each ordinary share is R56, and the company recorded a profit of R28 000 000 for the year. What are the company's (a) price - earnings (P/E) ratio and (b) market - to - book ratio? 1. (a) 10,00; (b) 2,80 2. (a) 2, 80; (b) 20,00 3. (a) 20,00; (b) 2,80 4. (a) 10,00; (b) 5,60

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The latest financial statement from Dynamo Analytics reveals a total equity of R100 000 000, with 5 000 000
ordinary shares outstanding. The market value of each ordinary share is R56, and the company recorded a
profit of R28 000 000 for the year. What are the company's (a) price - earnings (P/E) ratio and (b) market - to
- book ratio? 1. (a) 10,00; (b) 2,80 2. (a) 2,80; (b) 20,00 3. (a) 20,00; (b) 2,80 4. (a) 10,00; (b) 5, 60
Transcribed Image Text:The latest financial statement from Dynamo Analytics reveals a total equity of R100 000 000, with 5 000 000 ordinary shares outstanding. The market value of each ordinary share is R56, and the company recorded a profit of R28 000 000 for the year. What are the company's (a) price - earnings (P/E) ratio and (b) market - to - book ratio? 1. (a) 10,00; (b) 2,80 2. (a) 2,80; (b) 20,00 3. (a) 20,00; (b) 2,80 4. (a) 10,00; (b) 5, 60
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