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 Price per Share per Share $102.34 33.20 Tucker Co. 70.56 2.47 > 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". Price-Earnings Ratio Dividend Yield Jones Co. $3.40 $2.87 0.60 Smith Co. 0.50 3.60 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 price-earnings ratio. Jones Co. has both a high dividend yield and price-earnings ratio and is expected to produce shareholder returns through a combination of some share price appreciation and a moderate dividend V Smith Co. has the highest price-earnings ratio of the three companies. Feedback * Chuck My Work a. Divide stock price per share price by earnings per share. Divide dividends per share by stock price per share. b. Consider the relationship of each account and how it relates to the industry numbers. Learning Objective 5