Explain What is the industry price-earnings ratio? What is the price-earnings ratio for Ragan, Inc.? Is this the relationship you would expect between the ratios? Why or why not?

Last year, Ragan, Inc., had an EPS of $3.75 and paid a dividend to Carrington and Genevieve of $48,000 each. The company also had a return on equity of 17 percent. The siblings believe that 14 percent is an appropriate required return The original partnership agreement between the siblings gave each 50,000 shares of stock.