Multiple Choice
Lab R Doors' year-end price on its common stock is $40. The firm has a profit margin of 10 percent, total assets of $30 million, a total asset turnover ratio of 2, no preferred stock, and there are 4 million shares of common stock outstanding. What is the PE ratio for Lab R Doors?
A) 0.375
B) 0.750
C) 6.667
D) 26.667
Correct Answer:
Verified
Correct Answer:
Verified
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