A company with 0 net debt has sales of 10m, EBIT of 2m And net income of 1.8m. Harmonic mean of comparable companies multiples is 1 for EV/Sales, 5 for EV/EBIT and 10 for P/E. What can be the explanations to the high P/E ratio of the peers?

A. Comparable companies face low corporate income tax rates. B. are more leveraged C.have lower growth prospects D. ALL