Tsingtao Companys balance sheet shows a stockholders equity book value (total common equity) of ($800,500.) The firms

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Tsingtao Company’s balance sheet shows a stockholders’ equity book value (total common equity) of \($800,500.\) The firm’s earnings per share were \($3.50,\) resulting in a price/earnings ratio of 12.35X. There are 55,000 shares of common stock outstanding. What is the price/book ratio? What does this indicate about how shareholders view Tsingtao Company?

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Foundations Of Finance

ISBN: 9781292318738

10th Global Edition

Authors: Arthur Keown, John Martin, J. Petty

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