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6. Yield =16% Annual Interest payment =$160 PB= 7. AT&T Stock P=$18.60 Earnings per share (EPS) =$2.05 Price Earnings Ratio (P/E ratio) = Rate of

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6. Yield =16% Annual Interest payment =$160 PB= 7. AT\&T Stock P=$18.60 Earnings per share (EPS) =$2.05 Price Earnings Ratio (P/E ratio) = Rate of return = 8. Verizon Stock P=$45.80 EPS =$3.75 P/E ratio = Rate of return = 9. Based on the rate of return, would you buy AT\&T or Verizon? 10. Based only the rate of return, would you buy Verizon (based on problem \# 8) or the following bond? PB=$360, Annual Interest Payment =$25

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