Botox Facial Care had earnings after taxes of $350,000 in 20X1 with 200,000 shares of stock outstanding. The stock price was $72.50. In 20X2, earnings after taxes increased to $420,000 with the same 200,000 shares outstanding. The stock price was $83.00. a. Compute earnings per share and the P/E ratio for 20X1. (The P/E ratio equals the stock price divided by earnings per share.) (Do not round intermediate calculations. Round your final answers to 2 decimal places.) b. Compute earnings per share and the P/E ratio for 20X2. (Do not round intermediate calculations. Round your final answers to 2 decimal places.) c. Why did the P/E ratio change

a. Compute earnings per share and the P/E ratio for 20X1.

EPS = $1.75 per stock

P/E ratio = 41.43

b. Compute earnings per share and the P/E ratio for 20X2.

EPS = $2.10 per stock

P/E ratio = 39.52

Explanation:

after taxes net income $350,000 in 20x1

200,000 outstanding common stocks

stock price $72.50

after taxes net income $420,000 in 20x2

200,000 outstanding common stocks

stock price $83.00

EPS = net income / outstanding stocks

20x1 = $350,000 / 200,000 = $1.75 per stock

20x2 = $420,000 / 200,000 = $2.10 per stock

P/E ratio = stock price / EPS

20x1 = $72.50 / $1.75 = 41.43

20x2 = $83.00 / $2.10 = 39.52

answer; ///the name of the central bank of the united states is called; ///the federal reserve known as the federal

you can lose ranking 2 ways.

1) you don't have enough points due to you expending them by asking questions/your answers are deleted.

2) your brainliest's expired. this means that brainliests, once they exceed the 30 day limit, expires. this is to ensure that you continue to contribute into the community at a constant rank if you want to continue to have/exceed the rank you have right now.

if you go to profile, and click "show more information" located on the bottom left of the box with your information (on top of the questions answered, questions asked, and friends), you will be given the following information (example):

member since : 02/13/2017, 18: 11

questions answered: 9741

questions asked: 162

no. of brainliest answers: 1575

brainliest answers in last 30 days: 10

warnings: 0 view

questions/answers reported: 2637

questions/answers incorrectly reported: 64

look at the "brainliest answers in the last 30 days". this is the one that will affect your rank other than your points. again, once your brainliest expires (was earned 31+ days ago), it will not be counted.

~