Question
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: Price Earnings per Share Dividends per Share Jones Co. $88.20 $2.80 $2.82 Smith Co. 173.16 3.60 0.00 Tucker Co. 41.48 3.40 1.53 a. Determine the price-earnings ratio and dividend yield for the three companies. Round your answres to one decimal place. If an amount should be zero, enter in "0". Price-Earnings Ratio Dividend Yield Jones Co. fill in the blank 1 fill in the blank 2 % Smith Co. fill in the blank 3 fill in the blank 4 % Tucker Co. fill in the blank 5 fill in the blank 6 % b. Explain the differences in these ratios across the three companies by completing the following: Tucker Co. has the lowest price-earnings ratio. Smith Co. has the lowest price-earnings ratio, but the lowest dividend yield of the three companies.
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