1. Edelman Engines has $11 billion in total assets. Its balance sheet shows $2.2 billion in current liabilities, $7.7 billion in long-term debt, and $1.1 billion in common equity. It has 800 million shares of common stock outstanding, and its stock price is $34 per share. What is Edelman's market/book ratio? Round your answer to two decimal places.
2. You are given the following information: Stockholders' equity as reported on the firm’s balance sheet = $6.5 billion, price/earnings ratio = 9, common shares outstanding = 76 million, and market/book ratio = 1.6. Calculate the price of a share of the company's common stock. Round your answer to the nearest cent.