Check my work check my work button is now enableditem 3item 3 10 points richmond rent-a-car is about to go public. the investment banking firm of tinkers, evers & chance is attempting to price the issue. the car rental industry generally trades at a 18 percent discount below the p/e ratio on the standard & poor’s 500 stock index. assume that the index currently has a p/e ratio of 20. the firm can be compared to the car rental industry as follows: richmond car rental industry growth rate in earnings per share 11% 10% consistency of performance increased earnings 4 out of 5 years increased earnings 3 out of 5 years debt to total assets 35% 40% turnover of product slightly below average average quality of management high average assume, in assessing the initial p/e ratio, the investment banker will first determine the appropriate industry p/e based on the standard & poor’s 500 index. then a 0.50 point will be added to the p/e ratio for each case in which richmond rent-a-car is superior to the industry norm, and a 0.50 point will be deducted for an inferior comparison. on this basis, what should the initial p/e be for the firm? (round your answer to 1 de