Answer:
12.47
Explanation:
Given :
Earning per share, EPS = $1.96
Cashflow per share = $3.15
Price / Cash flow ratio = 7.76
The P/E ratio = share price / Earning per share
The Share price is given by :
Cashflow per share * price to cash flow ratio
Share price = $3.15 * 7.76 = $24.444
Now ;
P/E ratio = Share price / Earning per share = $24.444 / $1.96
P/E ratio = 12.4714
P/E ratio = 12.47
