For the year ended 31 December 2016 a company earned a profit after interest and tax of £480,000. The company’s share price is £12 per share. The following are extracts from the company’s Statement of financial position at 31 December 2016:
Ordinary share capital (50p shares) £200,000
Retained earnings £380,000
Revaluation reserve £80,000
Long-term 10% Bank loan £48,000
The company’s price earnings (PE) number and return on equity for the period were: