The price of a share of stock divided by the companys estimated future earnings per share is called the P/E ratio. High P/E ratios usually indicate growth stocks or maybe stocks that are simply overpriced. Low P/E ratios indicate value stocks or bargain stocks. A random sample of 51 of the largest companies in the U.S. gave the following P/E ratios in 2009 (Reference: Forbes):

11	35	19	13	15	21	40	18	60	72
9	20	29	53	16	26	21	14	21	27
10	12	47	14	33	14	18	17	20	19
13	25	23	27	5	16	8	49	44	20
27	8	19	12	31	67	51	26	19	18
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a. In June 2009, Bank of America had a P/E ratio of 14, Apple had a P/E ratio of 25, and Sears Holdings Inc. had a P/E ratio of 64. Examine the confidence interval in part c, and explain how you would describe these stocks at this time.