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Price-Earnings Ratio; Dividend Yield per Share The table that follows shows the stock price, earnings per share, and dividends per share for three companies for
Price-Earnings Ratio; Dividend Yield per Share 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 Jones Co. $26.88 $0.70 $0.75 Smith Co. 283.50 4.20 0.00 Tucker Co. 86.50 5.00 3.29 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. E % 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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