Book value per share and earnings per share


Problem:

Tina's Track Supply's market-to-book ratio is currently 4.5 times and PE ratio is 10.5 times. If Tina's Track Supply's common stock is currently selling at $100 per share, what is the book value per share and earnings per share?

  • $9.5238, $22.2222, respectively
  • $1050, $450, respectively
  • $450, $1050, respectively
  • $22.2222, $9.5238, respectively

Note: Provide support for your rationale.

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Accounting Basics: Book value per share and earnings per share
Reference No:- TGS0890848

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