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Company X has a P/E ratio of 10 and a stock price of $50 per share. Calculate earnings per share of the company.

    A)    $5 per share     B)    $ per share     C)    $0. per share     D)    $6 per share

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Question added by Shahbaz Hayder , Group Head of Finance , Sharif Group of Companies
Date Posted: 2016/04/26
Upvote (1) Views (8) Followers (8) Answers (7) Report Question
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Shahbaz Hayder
by Shahbaz Hayder , Group Head of Finance , Sharif Group of Companies

Yes, Option A is the right answer.

Zehab Osman
by Zehab Osman , Accountant , Aldar Consultancy Co.

Answer A ----------------$5 per share

KHALID HAMID SIDDIQUI
by KHALID HAMID SIDDIQUI , Assistant Manager , Toyota - Indus Motor Company

    A)    $5 per share

 

P/E Ratio = Share Price / EPS

10            =   50    /   EPS

EPS         =    50   /   10

EPS         =    5 

Tohidul islam
by Tohidul islam , probationary level , uttara bank limited bangladesh

A) $5 per share 

eps=Total earnings / Total number of share

ATM Sarrowor Kamal Chowdhury
by ATM Sarrowor Kamal Chowdhury , Chief Finance Officer , Address: Bizzcorp International

Earning per share at market price = $50/10= $ 5

Shazia Anees
by Shazia Anees , Assistant Manager Finance , Arham Trading Company

$5 per share is the answer.

Nishad Hashim
by Nishad Hashim , Accountant , RAJAKUMARI SHOPPING MALL LLP

EPS= Total earnings/ No of shares

=50/10

=5

The answer is option A) $5 per share

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