Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jun 28, 2024

The price/earnings ratios of four companies from the same industry are: Company P/E Ratio Ingles Markets 7.9 Kroger 6.6 Sprouts Farmers Market 18.3 Weis Markets

The price/earnings ratios of four companies from the same industry are:

Company

P/E Ratio

Ingles Markets

7.9

Kroger

6.6

Sprouts Farmers Market

18.3

Weis Markets

17.4

Source:Based on closing stock prices on March 17, 2019, and trailing-twelve-months

earnings per share, both from Yahoo Finance.

What factors might explain the difference in the P/E ratios of these companies?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Financial Accounting

Authors: Richard Baker, Valdean Lembke, Thomas King, Cynthia Jeffrey

8th Edition

73526916, 978-0073526911

More Books

Students also viewed these Accounting questions

Question

★★★★★

The web site IncomeTaxList.com lists the average annual income for California as $44,400. What is the role of the term average in statistics? Should another term be used in place of average?

Answered: 1 week ago

Question

★★★★★

Use the data given in question 24 of Chap. 2 to estimate the regression coefficients for a regression of J&Js current ratio on the pharmaceutical industrys current ratio. Question 24 of Chap. 2 You...

Answered: 1 week ago

Question

★★★★★

Which subtests of the Wechsler intelligence tests seem most culturally fair? Which seem most potentially culturally unfair?

Answered: 1 week ago

Question

★★★★★

On Brenda Sniezeks first day of work for the Kansas City Chiefs Football Club, she signed a document that purported to compel arbitration of any disputes that she might have with the Chiefs. In the...

Answered: 1 week ago

Question

★★★★★

19.A) Mr. Bipin who keeps his books of account under single entry system started business on 1st Baisakh 2067 with a capital of Rs 2,00,000. At the end of 2067 his position is as under: Machinery...

Answered: 1 week ago

Question

★★★★★

Exercise 12-10 Canarie Hospital is a division of Superior Healthcare that is organized as an investment center. In the past year, the hospital reported an after-tax income of $3,570,000. Total...

Answered: 1 week ago

Question

★★★★★

Montgomery Company has developed the following flexible budget formulas for its four overhead items: Overhead item Maintenance Fixed Cost Variable rate per direct labor hour $10,000 $ 3.00 Power $...

Answered: 1 week ago

Question

★★★★★

Following are the asset, liability, and equity items of Dumont Inc. at January 31, 2015, after its first month of operations. Required: = ASSETS LIABILITIES + EQUITY Cash $1,300 Bank Loan $8,000...

Answered: 1 week ago

Question

★★★★★

Je-ok claims he brought a trick coin from a casino. In particular, he claims that the coin is more likey to come up heads than tails. To validate his claim, he flips the coin 10 times, and it comes...

Answered: 1 week ago

Question

★★★★★

A coin is dropped from a height of one meter and is observed to bounce half of the previous maximum height reached. What is the total vertical distance covered by the coin until at halts? A . 2 m B ....

Answered: 1 week ago

Question

★★★★★

Nicky was listening to one of her classmates give a speech about architecture in the city. At one point, the speaker used the term "green spaces" to describe city parks. Nicky heard the word "green"...

Answered: 1 week ago

Question

★★★★★

15. Ask yourself the following questions: What do you want to remember from your everyday experiences? These are the experiences that fill most of your life. They may take 9099% of your time. What do...

Answered: 1 week ago

Question

★★★★★

What reward will you give yourself when you achieve this?

Answered: 1 week ago

Question

★★★★★

11. Now consider the different goals you have for your life in the future. See these goals in relation to your core values and your roles. How do goals affect your roles and your values? Development...

Answered: 1 week ago

Previous Question Next Question