Entity A plans to go public and firm managers want to know its market value. Answer the questions using the table below. Equity Value Appearing on Net Firm Stock Price the Balance Number of Outstanding Shares Profit Sheet (Book Value) Entity B 5.00 15,450,100 4,000,000 19,231,453 Entity C 6.50 108,500,235 18,000,000 24,568,634 0 1 Entity D 9.70 132,400,200 30,000,000 40,654,872 Entity E 12.30 86,360,890 12,000,000 29,833,272 Calculate the average Price Earnings Ratio (P/E) of the industry. A) 4.48 B) 6.00 C) 3.50 D) 5.20 E) 3.98