What would be the expected price of UPS stock on this​ date, if estimated using the method of​ comparables?

Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter16: Financial Statement Analysis
Section: Chapter Questions
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On a particular​ date, FedEx has a stock price of $88.24 and an EPS of $7.36. Its​ competitor, UPS, had an EPS of $0.30.

What would be the expected price of UPS stock on this​ date, if estimated using the method of​ comparables?
 
 
 

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Part 1
 
A.$5.40
B. $7.19
C.$8.00
D.$3.60
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