1. A firm with earning per share of $5 and a price earning ratio a 15 will have a stock price of.a. $20.00b. $75.00c. $3.00d. the market assign stock price independence of EPS and the P/E ratio.2. Reinvested funds from retained earning theoretically belong to:a. bond holders.b. common stockholders.c. employees.d. all of the above.3. How many of the following items are found of the balance sheet rather than the income statement?Account receivableRetained earningIncome tax expenseAccrued expenseCashSelling and administrative expensePlant and equipmentOperating expenseMarketing SecuritiesInterest expensea. 3 of these items are found of the balance sheet.b. 4 of these items are found of the balance sheet.c. 5 of these items are found of the balance sheet.d. 6 of these items are found of the balance sheet.4. Total stockholder s equity consist ofa. Preferred stock and common stock.b. Common and stock and retained earning.c. Common stock and capital paid in excess paid in excess par.d. Preferred stock common stock capital paid in excess of par and retained earning.