25) Financial Ratios a) The company stock price is P=$20 per share. Company Earnings are E0=$5 per share and expected to grow at a rate of g=3%. What is the company P/E1 ? b) The plowback rate for a company is b=0.65. The growth rate and market capitalization rate are g=3% and k=8% respectively. What is the company P/E1 ? c) A company has an annual income of $2,500,000 and average shareholder's equity of $15,000,000. What is the ROE for the company? d) A company has a tax rate of t=25%,ROA=10%, and pays interest of i=8%. The debt-toequity rate is 2/3. What is the ROE of the company? e) A company has a tax rate of t=20%,ROE=18%, and pays interest of i=4%. The debt-toequity rate is 3/4. What is the ROA of the company