21. The following information pertains to Rural Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit. Cash and short-term investments Accounts receivable (net) Assets $ 40,000 30,000 Inventory Property, plant and equipment Total Assets Liabilities and Stockholders' Equity Current liabilities Long-term liabilities Stockholders' equity-common, Total Liabilities and Stockholders' Equity Sales Cost of goods sold Gross profit Operating expenses Net income 25,000 215.000 $310.000 $ 60,000 75,000 175,000 $310.000 Income Statement $ 95,000 45,000 50,000 15,000 $ 35,000 5,000 $21 Number of shares of common stock Market price of common stock Dividends per share What is the price-earnings ratio for Rural? a. 8 times b. 4.0 times c. 7.0 times d. 3.0 times 1.00