Answer:
$22.2222, $9.5238, respectively
Explanation:
The market-to-book ratio is given by a share's market value divided by its book value, if shares are selling for $100 on the market, the book value is:
[tex]B = \frac{\$100}{4.5}=\$22.2222[/tex]
The price to earnings ratio (PE ratio) is determined as a share's price divided by the earnings per share. Earnings per share are:
[tex]E=\frac{\$100}{10.5}\\E=\$9.5238[/tex]
The book value per share and earnings per share are $22.2222, $9.5238, respectively
