Identify what is needed to calculate the P/E ratio. (Check all that apply.) Multiple select question. Return on equity Average stockholders' equity Earnings per share Common stock dividends declared Stock price

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01-12-2021
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Identify what is needed to calculate the P/E ratio. (Check all that apply.) Multiple select question. Return on equity Average stockholders' equity Earnings per share Common stock dividends declared Stock price

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Anthougoidn Anthougoidn · Answer 1 · 2021-12-06T05:13:48-05:00

Anthougoidn Anthougoidn

06-12-2021

The computation of the P/E (Price/Earnings) ratio requires C. Earnings per share and E. Stock price.

The Stock price is the current market price per share of the company's stock. The Earnings per share (EPS) is the net income (less preferred dividend) divided by the number of outstanding common stock shares.

Thus, the P/E ratio computation requires C and E.

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