Question
Chang, Inc.'s balance sheet shows a stockholders' equity book value (total common equity) of $755,400. The firm's earnings per share is $2.97, resulting in a
Chang, Inc.'s balance sheet shows a stockholders' equity book value (total common equity) of $755,400. The firm's earnings per share is $2.97, resulting in a price/earnings ratio of 12.54X. There are 55,000 shares of common stock outstanding. What is the price/book ratio? What does this indicate about how shareholders view Chang, Inc.?
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Financial Management In The Sport Industry
Authors: Matthew T. Brown, Daniel A. Rascher, Mark S. Nagel, Chad D. McEvoy
3rd Edition
0367321211, 978-0367321215
