There Are 3 Million Common and One Million Preferred Kline

Multiple Choice

There are 3 million common and one million preferred Kline Inc shares outstanding. Common shares closed on the TSX November 18 at $80.64 each, after an announcement that net income for the year was $22,500,000, and that a dividend of $2.25 would be paid on common shares and a dividend of $.90 would be paid on preferred shares. What was Kline's P/E ratio on that date?

A) 5.6
B) 7.2
C) 9.6
D) 10.8
E) 11.2