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
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. $26.48 $0.80 $0.74 Smith Co. 164.36 2.80 0.00 Tucker Co. 19.55 1.70 0.68 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 "0". Jones Co. Smith Co. Price-Earnings Ratio Dividend Yield % % % Tucker Co. b. Explain the differences in these ratios across the three companies by completing the following: Tucker Co. has the returns through price-earnings ratio. Jones Co. has both a Smith Co. has the dividend yield and price-earnings ratio and is expected to produce shareholder price-earnings ratio of the three companies.
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