Pricebook chang incs balance sheet shows a stockholders, Finance Basics

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Pricebook chang incs balance sheet shows a stockholders

Question: (Price/book) Chang, Inc.'s balance sheet shows a stockholders' equity-book value (total common equity) of $750,500. The firm's earnings per share is $3, resulting in a price/ earnings ratio of 12.25X. There are 50,000 shares of common stock outstanding. What is the price/book ratio? What does this indicate about how shareholders view Chang, Inc.?

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