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Licemer1 [7]
3 years ago
14

Sally is looking to invest in Agricon Products when its P/E ratio is lower than 15. Each share is currently projected to earn $1

.30 this year. Which
of the stock prices listed below would give the P/E ratio she is looking for?
1. $18 a share
II. $19 a share
III. $20 a share
Select the best answer from the choices provided.
А.
I only
В.
III only
Ос.
I and II only
OD. III, and III
Business
1 answer:
snow_lady [41]3 years ago
4 0

Answer:

C

Explanation:

P/E ratio is a method of valuing a company. It is derived by dividing price of the stock by earnings

1. $18/1.3 = 13.8

2. 19/1.3 = 14.6

3. 20 / 1.3 = 15.4

The first and second stock have a P/E ratio is lower than 15.

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Zach Company owns 45% of the voting stock of Tomas Corporation and uses the equity method in recording this investment. Tomas Co
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Answer:

d. Credit to the investment account for $9000.

Explanation:

Since Zach company owns 45% of the voting stock in the Tomas corporation and Tomas corporation uses an equity method in recording this investment and it reports a net loss of $20,000.

The Zach company's entry would be Credit to the investment account for $9000.

- Calculations: $20000 * 0.45 = 9000.

Hope this helps.

ThankYou.

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Answer:

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prisoha [69]

scholarship i think

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Suppose one U.S. dollar can purchase a half pound of strawberries in the United States. After converting dollar to pesos, one U.
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Answer:

The answer is:

a real exchange rate

Explanation:

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The manufacturer must lead the channel design process regardless of the relative market power and financial strength of the memb
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Answer:

The statement is false

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Therefore, the manufacturer could lead the process of the design process irrespective of the financial strength of members as well as the market power.

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