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. $17.40 $0.50 $0.49 Smith Co. 114.54 2.30 2.29 Tucker Co. 17.40 1.00 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". 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 price-earnings ratio. Jones Co. has both a dividend yield and price-earnings ratio and is expected to produce shareholder returns through . Smith Co. has the price-earnings ratio of the three companies.
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