Chec 7 The car rental industry generally trades at a 25 percent discount below the Ple ratio on the Standard & Poor's 500 Stock Index Assume that the index currently has a P/E ratio of 30. The firm can be compared to the car rental industry as follows 10 pont Growth rate in earnings per share Consistency of performance Debt to total assets Turnover of product Quality of management Richmond 14% Increased earnings 4 out of 5 years 35% slightly above average Hich Car Rental Industry 10% Increased earnings 3 out of 5 years -DOON Avera Average Deferences Assume, in assessing the initial PE ratio, the investment banker will first determine the appropriate industry P/E based on the Standard & Poor's 500 Index Then a 050 point will be added to the P/E ratio for each case in which Richmond Rent A Car is superior to the industry norm, and a 0,50 point will be deducted for an interior comparison On this basis what should the initial Ple be for the firm? (Round your answer to 1 decimal place.) Initiat PE ratio 240