Tsuyoshi from Problem 8.30 decides to use another approach to value Hino. He plans to use the price-to-sales ratio to value the stock, and he has collected P/S multiples for the same car manufacturers:

Find the average P/S ratio for these three manufacturers. Given that Hino is expected to generate ¥14,300 million in sales next year and will have 100 million shares of stock outstanding, use the average P/S ratio Tsuyoshi computed previously to put a value on Hino’s stock.

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Company Honda Daihatsu Mazda P/S Multiples 13 11.2 9.5