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Price-Earnings Ratio; Dividend Yield The table that follows shows the stock price, earnings per share, and dividends per share for three companies for a recent
Price-Earnings Ratio; Dividend Yield The table that follows shows the stock price, earnings per share, and dividends per share for three companies for a recent year: Earnings Dividends per Share per Share Price Jones Co Smith Co Tucker Co a. Determine the price-earnings ratio and dividend yield for the three companies. Round to one decimal place. If an amount should be zero, enter in "O" $144.76 41.23 15.66 54.70 0.70 0.90 $4.63 0.00 0.56 Price-Earnings Ratio Dividend Yield Jones Co Smith Co. Tucker Co. b. Explain the differences in these ratios across the three companies by completing the following Tucker Co. has the lowest Co. has the o. Jones Co. has both a dividend yield and price-earnings ratio and is expected to produce shareholder retums through Smith price-earnings rati price-earnings ratio of the three companies. a combination of some share price appreciation and a moderate dividend price appreciation only
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