9. The P/E ratio for BMI Corporation 21 and the P/Sales ratio is 5.2. The industry P/E ratio is 35 and the industry P/Sales ratio is 7.5. Based on relative valuation, is BMI shares over or undervalued? 10. Tayco Corporation has just paid dividends of $3 per share. The earnings per share for the company was $4. If you believe that the appropriate discount rate is 15%, and the long term growth rate is 6%, then the firm's P/E ratio is