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ABC Inc. and XYZ Inc. reported Net Incomes of $100,000 and $250,000 respectively for the most recent fiscal year. Both companies have 50,000 shares of

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ABC Inc. and XYZ Inc. reported Net Incomes of $100,000 and $250,000 respectively for the most recent fiscal year. Both companies have 50,000 shares of Common Stock issued and outstanding. The common stock was issued at $10 per share for each company. The market price per share Tf ABC's stock is $20 while XYZ 's is $40 per share. What is XYZ 's P/ E ratio? none of these $40 $8 $5

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