Sperle Corporation Has Provided the Following Data Concerning Its Stockholders

Multiple Choice

Sperle Corporation has provided the following data concerning its stockholders' equity accounts: Net income for Year 2 was $30,400. Dividends on common stock during Year 2 totaled $6,400. The market price of common stock at the end of Year 2 was $3.08 per share. The company's price-earnings ratio for Year 2 is closest to:

A) 0.38
B) 4.53
C) 5.70
D) 8.11