Charles Company reported a net income of $1,000,000 for the year 2013. The company declared and paid dividends of $150,000 to its preferred stockholders. During the year, the company had an average of 350,000 common shares outstanding. Assume that the companys common stock is selling at $34 per share at the end of the year. What will be Charles price-earnings ratio?

A. 14.00 times B. 16.43 times C. 11.90 times D. 10.35 times

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