Suppose that in January 2006, Kenneth Cole Productions had EPS of $1.67 and a book value of equity of $8.83 per share, a price to book ratio of 2.84 and P/E ratio 15.01. Estimate KCP’s share price based on PE ratio. Estimate KCP’s share price based on price to book ratio.

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A: Given, Book value of equity $1391000 Net income 505,000 EPS 0.232 per share PE ratio is 20.54

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Q: Suppose that in July 2013, Nike Inc. had EPS of $2.29 and a book value of equity of $11.91 per…

A: Hello. Since your question has multiple sub-parts, we will solve first three sub-parts for you. If…

Q: A company has an EPS of $2.40, a book value per share of $21.84,and a market/book ratio of 2.73.…

A: EPS= $2.40 Book value per share = $21.84 Market / book ratio = 2.73 P/E ratio = price/ earnings

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A: In the given question we require to compute the firm's price-earnings ratio.

Q: If the common stock of Comdisco pays an annual dividend of $0.28, has a PE ratio of 11, and closed…

A: PE Ratio = Share Price / EPS

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Q: Marj Corporation is currently selling for P22 per share. If it is selling at a Price-earnings ratio…

A: The price earning ratio is calculated by dividing the share price by the earnings per share.

Q: In November 2009, Perrigo Co. (PRGO) had a share price of $39.20. They had 91.33 million shares…

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Q: In December 2018, General Electric (GE) had a book value of equity of $51.5 billion, 8.6 billion…

A: Market capitalization = Market price per share * Number of shares outstanding Market-to-book ratio =…

Q: November 2009, Perrigo Co. (PRGO) had a share price of $39.20.  They had 91.33 million shares…

A: market capitalization = Number of shares outstanding × Market price per share

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A: Book value per share is the per share value of the share reported in the books of the entity.

Q: Roberts and Company’s market-to-book ratio is currently 6.5 times and PE ratio is 12.5 times. If…

A: Solution:- Calculation of  book value per share and earnings per share as follows under:-

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Q: Using the P/E multiples approach to valuation, What is the estimated price of a stock if the firm’s…

A: Calculation of estimated price of stock:Answer:Expected price of stock is $82.26