Atlantic Northern Inc. just reported a net income of $$7,000,000,$ and its current stock price is $$17\mathrm{.}50$ per share. Atlantic Northern is

forecasting an increase of $25\%$ for its net income next year, but it also expects it will have to issue $3,000,000$ new shares of stock

$($raising its shares outstanding from $5,500,000$ shares to $8,500,000$ shares$).$

If Atlantic Northern's forecast turns out to be correct and its price$-$to$-$earnings $($P$/$E$)$ ratio does not change, what does management expect its stock

price to be one year from now?

$$14\mathrm{.}19$ per share

$$17\mathrm{.}50$ per share

$$10\mathrm{.}64$ per share

$$17\mathrm{.}74$ per share

One year later, Atlantic Northern Inc.$\text{'}$s stock is trading at $$42\mathrm{.}75,$ and the company reports its common equity value as $$24,123,000.$ What is Atlantic

Northern Inc.$\text{'}$s market$-$to$-$book $($M$/$B$)$ ratio?

Can a company's stock have a negative P$/$E ratio?