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3 years ago

8

Jupiter explorers has $7,200 in sales. the profit margin is 4 percent. there are 6,000 shares of stock outstanding. the market p

rice per share is $1.40. what is the price-earnings ratio?

1 answer:

Genrish500 [490]3 years ago

5 0

Earnings = Sales * Profit margin = 7200 * 4% = 288

Price to earnings = stock price / earnings per share = 1.40/(288/6000) = <span>$29.17</span>

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