answer: $5.25

please show full workings

Question SP is a privately owned company. It generated sales of $500,000 in the last accounting period, and has an operating profit margin of 22 per cent and a net profit margin of 15 per cent. It has 100,000 shares in issue. RT is a listed company that operates in the same business sector as SP. It has a share price of $3.36 per share. It generated sales of $400,000 in the last accounting period, and also has an operating profit margin of 20 per cent and a net profit margin of 12 per cent and has 100,000 shares in issue. What is a suitable earnings-based valuation for one share in SP