The Crestar Company Reported Net Income of $100,000 on 20,000

Multiple Choice

The Crestar Company reported net income of $100,000 on 20,000 outstanding common shares. Preferred dividends total $12,000. On the most recent trading day, the preferred shares sold at $50 and the common shares sold at $80. What is this company's current price-earnings ratio? (rounded)

A) 16
B) 18
C) 20
D) None of the other answers are correct.