The Apple Pie Company had net income of $48,600 and earnings per share of $4.27. Apple Pie declared dividends of $3.10 per share of common stock during 2014. On December 31, 2014, the stock had a market price of $17.40 per share. Apple Pie's price/earnings ratio is closest to:

a) 5.61

b) 6.34

c) 0.25

d) 4.07